Charities are being reminded that they can register their restaurant or establishment for the Eat Out to Help Out Scheme.
The scheme, which was announced by Chancellor Rishi Sunak in his emergency budget this month, allows restaurants, cafés , pubs and other eat-in food establishments to offer diners a subsidised discount of 50% up to a value of £10 per head on food.
Charity Tax Group has provided detailed guidance on the scheme here.
The discount has been introduced to kick-start the restaurant industry and could provide VCSE organisations which rely on income from businesses such as community cafés with a much-needed boost.
The discount can be used unlimited times and will be valid Monday to Wednesday on any eat-in meal (including on non-alcoholic drinks) for the entire month of August 2020 across the UK. Participating establishments will be fully reimbursed for the 50% discount. Registration opened on 13 July and closes on 31 August.
Organisations will still need to pay VAT based on the full amount of their customers’ bills. Any money received through the scheme will be treated as taxable income.