My charity run a fundraising event that attracts corporate sponsorship. In return for a sum, the company acquires branding rights (i.e.logo) on all the event advertising materials, branding at the event, acknowledgement in press releases and supporter packs. I thought that as there was a benefit to the company that this should be VATABLE however, my finance dept contacted a tax advsior and they said that as the sponsorship was in direct relation to a fundraising event that it was VAT exempt. In the past I have always charged VAT on this type of sponsorship - is anyone able to clarify?
