Care home bills must remain exempt from VAT, West Chelmsford MP Simon Burns is telling Chancellor of the Exchequer, Gordon Brown.
Mr Burns told the Chancellor that a recent decision by the London VAT Tribunal that VAT should be charged on care home bills would be "a devastating blow" to residents.
He is urging the government to lodge an immediate appeal against the tribunal's decision.
If the appeal were unsuccessful, the government should amend VAT regulations to ensure it was not extended to home care bills, added Mr Burns. It would be "unjust and unfair" to do so," he said.
"I am so concerned about this potential financial disaster that will affect those in care homes that I am writing immediately to the Chancellor of the Exchequer to seek clarification of the government's response to the tribunal decision," he added.
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