Alexa - Lots of wordy stuff there but no answers. Testing has always been VAT exempt, there has been no service - it is a test of ability. Checkout the price lists of some of the largest testing ATO's - No VAT charged on any testing. In any case no VAT is charged by Government agencies such as the CAA - Examiners act on behalf of the CAA. I would have something to say if an ATO tried to charge me VAT on a test.