Over the past two years, the National Executive Committee initiated a review of the governance and structure of the organisation. This led to the successful registration with the Charity Commission in May 2009 as since our inception, we have remained a not for profit organisation.
Over the past two years, the National Executive Committee initiated a review of the governance and structure of the organisation. This led to the successful registration with the Charity Commission in May 2009 as since our inception, we have remained a not for profit organisation.
Earlier this year, we started a dialogue with HMRC regarding our VAT status. As a faith based voluntary organisation, our understanding was HMC is exempt from VAT similar to other charitable organisations. However, after a series of meetings, HMRC has advised we should become VAT registered based on the nature of services we provide. We have today communicated the impact of this to certified plants and outlets.
Reflecting on the change, Chairman of HMC, Shaykh Yunus Dudhwala said: “We appreciate this change will impact on our stakeholders but are confident our partners will appreciate the context of this change and the mandatory nature of the change. More over, we are working closely with HMRC to ensure that whilst we fulfil our legal obligations, the impact of the changes is minimal. For this reason, the change in charges will only apply to plants, and this will have minimal impact as VAT registered companies are able to reclaim the VAT. It is important for all our partners to support us on our journey to ensure the provision of genuine Halal.”
