You as an employer can recover VAT on expenses incurred on staff team building where this event is wholly for the business purpose. The same also applies to staff parties, staff outgoings and other similar events.
However, you will not be able to cover VAT where:
- The event is exclusively for the directors of the business. For you to recover all staff should be invited to the event.
- Where your employees merely acts as hosts to non-employees and the only purpose of the event is entertaining non- employees.