Summary of policy concerns highlighted by these issues:
- There is general confusion within the research community and their finance offices on how to interpret VAT rules. This may be leading to an over-cautious approach to classification within finance offices, which may be wasting money.
- There are increased costs and perverse incentives discouraging academia-industry research collaboration and co-location, which runs contrary to the aims of the Science and Innovation Strategy to promote growth-friendly innovation through collaboration.
- There is increased bureaucracy and inefficient accounting systems resulting in poor use of public money.
CaSE Briefing – VAT
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