188体育

It is significant that the law here uses the words 鈥榙esigned for invalids鈥�, not 鈥榝or a disabled person鈥�. 鈥業nvalid鈥� is linked to a medical condition, temporarily or permanently, resulting in illness. The criteria for the eligible design are therefore different. These issues were explored in Tribunal case Niagara Holdings Ltd (11400).

The appeal was against a decision of the Commissioners that the Adjustamatic bed produced by Niagara was not entitled to relief under item 2(b). Both sides accepted that the beds were supplied to disabled persons and were electrically or mechanically adjustable. The third condition - that the bed was 鈥榙esigned for invalids鈥� - was the point at issue.

The Tribunal considered:

• 鈥榖oth the stated intention of the designer and the end product鈥�;
• the level of medical and other specialist consultation in the design process;
• the bed鈥檚 unusually strong construction;
• the cycloidal massage vibrator units;
• the facility for a variable height mechanism; and
• the fixing holes necessary to enable the attachment of the optional parts such as cot sides, and leg lift.

The Tribunal concluded that:

鈥淭his was not a normal bed; it was not a bed designed for normal sleep and rest; all its features pointed objectively towards the fact that it was a bed designed for a special purpose. The appearance of the basic bed was such as to fit easily into a domestic environment but that is just what is envisaged by Item 2 of Group 14 (now Item 2(b) of Group 12 Schedule 8, VAT Act 1994). In our view we do not need to consider the use of the bed or the persons to whom the bed is sold. The legislation only requires that the bed is 鈥渄esigned for invalids鈥� and not 鈥渄esigned solely for invalids鈥� or 鈥渟olely for the use of invalids鈥�.

The above decision was endorsed by the Chairman in the Tribunal case of Hulsta Furniture (UK) Limited (16289).

This is a competitive market place, divided between suppliers who are geared towards helping disabled people and those who are aiming at a wider market, such as those who suffer from back pain or circulation problems. The phrase 鈥榙esigned for invalids鈥� is an important means of confining the zero rate to highly specialised beds and avoiding the zero rate spreading into the main stream market, with all the distortions in competition that would bring.

The Tribunal decision tells us that for a bed to meet this test it must clearly stand out as being something specialised for the use of invalids and akin to beds commonly used in hospital wards. In addition to the features listed above, one might also expect it to have facilities for 鈥榗ot鈥� sides and drips where necessary.

There are now a lot of adjustable beds on the market and most of them are not designed for invalids.