The issue was raised in Parliament last week and reported in the Mail, as MPs said the tax was likely to apply in this situation, creating a 'nursery tax'
Entire nursery classes will be drawn into Labour 's VAT raid on independent schools, HMRC documents have confirmed.
File photo. Sir Keir Starmer and shadow education secretary Bridget Phillipson during a visit to a school in Nuneaton, WarksBridget Phillipson speaks during the Labour Party Conference 2024 The revelation comes despite Labour saying they planned to exempt all nurseries from the planned VAT on fees, which will be introduced in January.
Early-years education providers said it has become increasingly common to hold children back a year due to developmental concerns or special educational needs and disabilities, meaning the nursery tax could be 'potentially very widespread'.
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