VAT, DUTIES AND INDIRECT TAX LAW CASE NOTES

SAE Education Limited v The Commissioners for Her Majesty’s Revenue & Customs – a turning tide for the university education exemption? ~ Appeal No. TC/2011/02251
10 March 2014
Author(s): Elizabeth Kelsey
Member(s) of Chambers involved in this case: Melanie Hall QC, Elizabeth Kelsey

On 28 February 2014 the First-tier Tribunal released its Decision allowing SAE Education Ltd.'s appeal against a decision of HMRC.  SAE argued that its supplies of educational courses in the fields of audio and digital media technologies ...

Legitimate Expectations Lose their Appeal
20 February 2013
Author(s): Peter Mantle
Member(s) of Chambers involved in this case: Peter Mantle

The Upper Tribunal has decided that the First-tier Tribunal has no legitimate expectation jurisdiction in a VAT ...

Advocate General endorses the UK’s VAT legislation on VAT grouping
27 November 2012
Author(s): Melanie Hall QC
Member(s) of Chambers involved in this case: Melanie Hall QC

Advocate General Jaaskinen released his opinion today in Case C-85/11 EC v Ireland. He has concluded that the practice of permitting non-taxable persons to be members of a VAT Group does not infringe the Principal VAT Directive or any EU ...

Sub One v HMRC ~ Fiscal Neutrality – The Broader Implications of Sub One
10 October 2012
Author(s): Frank Mitchell
Member(s) of Chambers involved in this case: Melanie Hall QC, Ewan West

The Decision of the Upper Tier Tribunal in Sub One is meatier than the sandwich which inspired it and, depending upon your tastes, is just as satisfying.  In a keenly awaited Decision, the Upper Tier Tribunal rejected a challenge ...

Case C-591/10 Littlewoods and Others vs Commissioners for Her Majesty’s Revenue and Customs ~ September 2012
13 September 2012
Author(s): Paul Lasok QC, Tarlochan Lall
Member(s) of Chambers involved in this case: Paul Lasok QC, Tarlochan Lall

In Littlewoods and Others v Commissioners for Her Majesty's Revenue and Customs (Case C-591/10), the European Court of Justice ("ECJ") has decided that each Member State must set the conditions in which interest on overpaid tax ...

Who Supplies What in a Loyalty Reward Scheme ~ Cases C-53/09 and 55/09 HMRC v Loyalty Management UK and Baxi Group Ltd
22 November 2010
Author(s): Laura Elizabeth John
Member(s) of Chambers involved in this case: Nicholas Paines QC, Christopher Vajda QC, Raymond Hill

A loyalty reward scheme is an increasingly common marketing device used by retailers to encourage their customers to continue to use them for their purchases. The retailer gives the customer a card, and when the customer ...

HMRC v AXA UK Plc [2010] c-175/09
10 November 2010
Author(s): Fiona Banks
Member(s) of Chambers involved in this case: Raymond Hill, Mario Angiolini (Non-Practising)

The European Court of Justice ('ECJ') has recently handed down judgment in the AXA UK plc ('AXA') 'Denplan' case. The case concerned the VAT treatment of certain services provided by AXA to dentists as part of the Denplan dental ...

Mobilx Ltd (In Administration) and others v HMRC
14 June 2010
Author(s): Owain Draper
Member(s) of Chambers involved in this case: Melanie Hall QC, Philip Moser QC, Fiona Banks

On 12 May 2010, the Court of Appeal gave judgment on three joined appeals from the High Court in relation to missing trader intra-Community ("MTIC" or "carousel") fraud. The principal question before the Court of Appeal was, as Moses LJ ...

The Rank Group v The Commissioners for Her Majesty's Revenue and Customs
6 January 2010
Author(s): Owain Draper
Member(s) of Chambers involved in this case: Paul Lasok QC, Christopher Vajda QC, George Peretz, Valentina Sloane, Laura Elizabeth John

The First-Tier Tax Tribunal gave judgment recently on the second stage of the appeal by Rank Group plc ("Rank") against the refusal by HMRC to repay VAT paid on income from slot machines ("the slots appeal"). The Tribunal ruled in favour of Rank ...

R (TNT Post UK Ltd) v HMRC
11 June 2009
Author(s): Anneliese Blackwood
Member(s) of Chambers involved in this case: Paul Lasok QC, Christopher Vajda QC, Melanie Hall QC

This case concerned the interpretation of an exemption from VAT in relation to postal services. Proceedings were brought by TNT Post UK Limited ("TNT Post") against Her Majesty's Revenue and Customs ("HMRC") and Royal Mail Group Limited ("Royal ...

Revenue and Customs Comrs v Procter & Gamble [2009] EWCA Civ 407 ~ First published by De Voil Indirect Tax Intelligence, Issue 157, June 2009
1 June 2009
Author(s): Laura Elizabeth John
Member(s) of Chambers involved in this case: Christopher Vajda QC

With uncanny foresight, (or in testament to the effectiveness of Procter & Gamble's marketing hook), an earlier edition of this Journal commented on the judgment of the VAT & Duties Tribunal in this case that "Once you pop, the fun ...

HMRC v Livewire Telecom Ltd; HMRC v Olympia Technology Ltd [EWHC] 15 (Ch) ~ First published by De Voil Indirect Tax Intelligence, Issue 153, February 2009
26 February 2009
Author(s): Raymond Hill

A number of recent Tribunal decisions have concerned allegations of Missing Trade Intra Community (MTIC) fraud.  Central to those decisions has been the question whether the taxpayer knew or ought to have known that his transactions were ...

Royal Bank of Scotland (Case C-488/07) ~ First published by De Voil Indirect Tax Intelligence, Issue 153, February 2009
26 February 2009
Member(s) of Chambers involved in this case: Andrew Macnab

The Court of Justice (ECJ) has recently had to deal with three references on a novel question, which is remarkable for not having been asked before: how to round amounts of VAT which contain a fraction of the lowest unit of national ...

Canterbury Hockey Club & Canterbury Ladies Hockey Club v The Commissioners for Her Majesty’s Revenue and Customs ~ First published by De Voil Indirect Tax Intelligence, Issue 150, November 2008
16 December 2008
Author(s): Philip Moser QC

Sixth VAT Directive - Item 3 Group 10 Schedule 9 Value Added Tax Act 1994 -Exemption - Services linked to sport - Services supplied to persons taking part in sport include services supplied to unincorporated associations and to corporate persons ...

Case C-291/07 Kollektivavtalsstiftelsen TRR Trygghetsrådet ~ First published by De Voil Indirect Tax Intelligence, Issue 150, November 2008
16 December 2008
Author(s): Jorren Knibbe

In this case the ECJ addressed the place of supply rules for certain cross-border services where the customer uses the services only for the purposes of activities which are not subject to VAT.  Its decision is designed to achieve ...

Cases C-231/07 and C-232/07 Tierce Ladbrokes SA & Derby SA v Belgium ~ First published by De Voil Indirect Tax Intelligence, Issue 147, August 2008
22 August 2008
Author(s): Mario Angiolini (Non-Practising)

The European Court of Justice decided this case by way of an order, released on 14 May 2008, and without an opinion from the Advocate General. Despite the length of time since release of the Order, no English version of the order is ...

CASE C-484/06 AHOLD ~ First published by De Voil Indirect Tax Intelligence, Issue 147, August 2008
20 August 2008
Author(s): Raymond Hill

In Ahold, the Court of Justice was faced with an entirely novel question, which was how a retailer should account for output tax in the everyday situation where it sold goods to final consumers at VAT inclusive selling ...

The Boots Company plc v The Commissioners for Her Majesty's Revenue and Customs, Decision 20644 ~ First published by De Voil Indirect Tax Intelligence, Issue 145, June 2008
12 June 2008
Author(s): Ewan West
Member(s) of Chambers involved in this case: Melanie Hall QC, Tim Ward QC

In this Decision, the Tribunal was required to address both the technical aspects of a bespoke retail scheme, as well as the effect of the administrative process whereby the appellant had engaged with the Commissioners over the ...

A matter of timing: R (on the application of BMW AG) and others v HMRC ~ First published by De Voil Indirect Tax Intelligence, Issue 145, June 2008
12 June 2008
Author(s): Fiona Banks
Member(s) of Chambers involved in this case: Paul Harris QC, Philip Woolfe

The arrangements affected by the result of the BMW case are various, but in each case the cashflow benefit arises in the same way.  Company A makes supplies to Company B. Company A must account for output tax on the ...

It's Not Just Enrichment... It's Unjust M&S Enrichment
30 April 2008
Author(s): Fiona Banks
Member(s) of Chambers involved in this case: Paul Lasok QC, Peter Mantle

The European Court of Justice has recently handed down judgment in the latest episode of the long running legal battle between Marks and Spencer plc ('Marks and Spencer') and the Commissioners for Her Majesty's Revenue and ...

Conde Nast and Fleming
12 February 2008
Author(s): Philip Woolfe
Member(s) of Chambers involved in this case: Christopher Vajda QC, Valentina Sloane

The judgment of the House of Lords in Fleming and Condé Nast1 is the latest instalment of the litigation stemming from the introduction of the three-year caps in 1996 and 1997.  The issue for the House was how to deal ...

A Supertanker Turns ~ The ECJ's Tax Case Law Heads in a New Direction
16 January 2008
Author(s): Tim Ward QC
Member(s) of Chambers involved in this case: Tim Ward QC

It is trite law that the Member States of the EU retain competence over direct taxation.  Unlike VAT, it has not been subject to Community harmonising legislation. Yet in a series of cases dating back over 20 ...

Maine Distribution Ltd v HMRC [VAT Decision 20284] ~ First published by De Voil Indirect Tax Intelligence, Issue 137, October 2007
30 October 2007
Author(s): Mario Angiolini (Non-Practising)

The Appellant ("Maine") first registered for VAT as a furniture distributor though, in October 2005, it informed the Commissioners that it would commence wholesale trading in Computer Chip Units ("CPUs").  The Commissioners ...

Mobile Export 365 Ltd & Shelford IT Ltd v HMRC [2007] EWHC 1737 (Ch) ~ First published by De Voil Indirect Tax Intelligence, Issue 137, October 2007
30 October 2007
Author(s): Mario Angiolini (Non-Practising)

This was an appeal to the High Court by the taxpayers, two associated companies engaged in wholesale trades in mobile phone in the so called "grey" market, against the refusal by the Tribunal to strike out the Commissioners' case and ...

Regular Pringles - Once You Pop (open VATA 1994, Schedule 8, Group 1, Excepted Item 5), the Fun Doesn't Stop! ~ Proctor & Gamble (UK) v HMRC [2007] UKVAT 20205 ~ First published by De Voil Indirect Tax Intelligence, Issue 135, August 2007
27 August 2007
Member(s) of Chambers involved in this case: Andrew Macnab

Are Regular Pringles similar products to potato crisps? Are they made from the potato, from potato flour, or from potato starch?  Surely, I hear you cry, such questions one would only be debated in the pub after a certain ...

A Compound Answer to a Simple Question ~ Sempra Metals Limited (formerly Metallgesellschaft limited) v Her Majesty's Commissioners of Inland Revenue and another
22 August 2007
Author(s): Ewan West
Member(s) of Chambers involved in this case: Gerry Facenna

With its long-awaited judgment in Sempra Metals Limited (formerly Metallgesellschaft Limited) v. Her Majesty's Commissioners of Inland Revenue and another ("Sempra Metals") handed down on 18 July, the House of Lords has brought to an ...

JP Morgan Fleming Claverhouse Investment Trust plc v Commissioners of HM Revenue and Customs ~ Opening the Floodgates?
4 July 2007
Author(s): Philip Woolfe
Member(s) of Chambers involved in this case: Paul Lasok QC, Raymond Hill, Mario Angiolini (Non-Practising)

The appellants in the main proceedings were JP Morgan Fleming Claverhouse Investment Trust plc, an ITC managed externally by JP Morgan Fleming Asset Management (UK) Limited ("the Managers"), and the Association of Investment ...

Opening the Floodgates? ~ JP Morgan Fleming Claverhouse Investment Trust plc v Commissioners of HM Revenue and Customs
2 July 2007
Author(s): Philip Woolfe
Member(s) of Chambers involved in this case: Paul Lasok QC, Raymond Hill, Mario Angiolini (Non-Practising)

The appellants in the main proceedings were JP Morgan Fleming Claverhouse Investment Trust plc, an ITC managed externally by JP Morgan Fleming Asset Management (UK) Limited ("the Managers"), and the Association of Investment ...

Birmingham City Football Club plc v Revenue and Customs Commissioners ~ First published by De Voil Indirect Tax Intelligence, Issue 133, June 2007
28 June 2007
Author(s): Ben Lask

As Birmingham City celebrates promotion back to the Premiership, it kicks off the close season less successfully in the VAT & Duties ...

Lime Avenue Sales and Services Limited and Benenden School Trust v Revenue and Customs Commissioners ~ First published by De Voil Indirect Tax Intelligence, Issue 133, June 2007
28 June 2007
Author(s): Peter Mantle

Lime Avenue Sales and Services Ltd and Benenden School Trust v Revenue and Customs Commissioners (2007) VAT Decision 20140 was a Tribunal appeal concerning alleged abusive practices in the education sector.  HMRC refused claims ...

The End of the Line for the Mobile Telecoms Operators and their VAT Refund Claims? ~ Case C-369/04 Hutchison 3G UK Ltd & Others v CEC and Case C-284/04 T-Mobile & Others v Austria, Judgments of 26 June 2007
26 June 2007
Author(s): Valentina Sloane
Member(s) of Chambers involved in this case: Paul Lasok QC, Christopher Vajda QC, George Peretz

The ECJ has held that a Member State's auction of 3G licences does not constitute an economic activity and so falls outside the scope of the Sixth Directive.  In finding that claims by successful bidders for recovery of ...

Newcastle United Plc. v. HMRC [2007] EWHC 612 (Ch) ~ First published by De Voil Indirect Tax Intelligence, Issue 131, April 2007
11 April 2007
Author(s): Paul Harris QC

On 23rd February 2007 Mann, J. allowed an appeal by Newcastle United Plc, the owners of Newcastle United Football Club ("Newcastle United").  He remitted the case for a retrial in the Tribunal.  The case concerned the ...

Just Fabulous (UK) Ltd v HM Revenue and Customs [2007] EWHC 521 (Admin) ~ First published by De Voil Indirect Tax Intelligence, Issue 131, April 2007
11 April 2007
Author(s): Philip Woolfe

Just Fabulous (UK) Ltd v HM Revenue and Customs was one of three cases which were not consolidated but were effectively heard together by the Administrative Court (Burton J), each relating to the powers of HM Revenue and Customs ...

Teleos plc and others v Commissioners of Customs & Excise (Case C-409/04) - Advocate General's Opinion released on 11 January 2007 ~ First published by De Voil Indirect Tax Intelligence, Issue 129, February 2007
19 February 2007
Author(s): Alan Bates

In 2002 Teleos and other UK-based traders (together, 'Teleos') sold mobile phones 'ex works' to a Spanish company, 'TT'.  Under the relevant supply contracts, Teleos were required to deliver the goods to the warehouse of TT's ...

Baxi Group Limited v HMRC [2006] EWHC 3353 (Ch) ~ First published by De Voil Indirect Tax Intelligence, Issue 129, February 2007
19 February 2007
Author(s): Jorren Knibbe

Baxi Group Limited, decided by Lindsay J in the High Court on 21 December 2006, is the latest in a series of cases concerning the question when a composite transaction will constitute a 'single supply' for VAT ...

Bournemouth Symphony Orchestra v HMRC [2006] EWCA 1281 ~ First published by De Voil Indirect Tax Intelligence, Issue 127, December 2006
19 December 2006
Author(s): George Peretz

For the purposes of Art 13A.1(n) of the Sixth Directive, the Bournemouth Symphony Orchestra (BSO) is, unsurprisingly, a "cultural body". When it sold tickets to its concerts, it supplied "cultural services". It therefore ...

Morpheus 2002 Ltd v HMRC (2006) Decision 19854 ~ First published by De Voil Indirect Tax Intelligence, Issue 127, December 2006
19 December 2006
Author(s): Alan Bates

Mortgage lenders require the services of a solicitor or licensed conveyancer in order to effect remortgaging arrangements, since only those persons are allowed to prepare the instruments necessary to transfer or charge any property ...

Banca Popolare di Cremona ~ What the Judgment Did Not Say
18 October 2006
Author(s): Philip Woolfe
Member(s) of Chambers involved in this case: Tim Ward QC

Banca Popolare is a case which is more significant for what the ECJ did not say than for what it did. The Court declined to address the issue on which 15 Member States addressed it in oral submissions, namely whether the Community ...

Household of Jorg and Stefanie Wollny v Finanzgericht Landshut (Case C-72/05) Judgment of 14 September 2006, ECJ ~ First published by De Voil Indirect Tax Intelligence, Issue 125, October 2006
15 October 2006
Author(s): Andrew Macnab

The Court of Justice of the European Communities (ECJ) has previously held in Lennartz (Case C-97/90) [1995] STC 514 and Charles-Tijmens (Case C-434/03) [2006] STC 1429 that a taxable person who purchases a building or equipment for both business ...

MBNA Europe Bank Ltd v HM Revenue and Customs [2006] EWHC 2326 (Ch) (unreported, 22 September 2006) ~ First published by De Voil Indirect Tax Intelligence, Issue 125, October 2006
15 October 2006
Author(s): Raymond Hill

In MBNA Europe Bank Ltd v HMRC, the High Court has had its first opportunity to consider the VAT implications of securitisation.  The result makes interesting reading, in particular the Court's analysis for first ...

Kittel v Belgian State (Case C-439/04) ~ First published by De Voil Indirect Tax Intelligence, Issue 123, August 2006
15 August 2006
Author(s): Elisa Holmes

On 6 July 2006 the European Court of Justice ("ECJ") gave judgment in joined cases Kittel v Belgian State (Case C-439/04) and Belgian State v Recolta Recycling SPRL (Case C-440/04). The judgment is the latest ...

The Royal Bank of Scotland Group plc v the Commissioners for Her Majesty's Revenue & Customs (2006) 19429 ~ First published by De Voil Indirect Tax Intelligence, Issue 121, June 2006
28 June 2006
Author(s): Heriot Currie QC

Regulation 101 of the Value Added tax regulations 1995, prescribes a "standard method" for the attribution of input tax to taxable supplies. It provides a method for arriving at a percentage of all input tax which may be attributed ...

Totel Limited v The Commissioners for Her Majesty's Revenue & Customs ~ First published by De Voil Indirect Tax Intelligence, Issue 121, June 2006
28 June 2006
Author(s): Philip Moser QC

Totel had originally appealed against HMRC's refusal to pay the sum of £217,525 which it had claimed as recoverable input tax.  HMRC's reason for its refusal was that the input tax had been incurred (albeit without Totel's ...

Is there Scope for Cross-pollination between VAT Law Principles and Customs Law?
11 May 2006
Author(s): Valentina Sloane
Member(s) of Chambers involved in this case: Melanie Hall QC

Dollond & Aitchison (D&A) is a firm of opticians with branches throughout the United Kingdom. D&A Lenses Direct Ltd (DALD), a company in the same group, incorporated under Jersey law, dispensed disposable contact lenses ...

C & E Comrs v Elm Milk Ltd [2006] EWCA Civ 164 ~ First published by De Voil Indirect Tax Intelligence, Issue 119, April 2006
4 May 2006
Author(s): Ben Rayment, Valentina Sloane

In Elm Milk, the Court of Appeal considered for the first time since Upton (trading as Fagomatic) [2001] STC 912 the provisions of domestic legislation which govern the extent to which a taxpayer can recover input tax on the purchase ...

Isle of Wight Council and ors v Commissioners for Revenue and Customs (2006) Decision 19427 ~ First published by De Voil Indirect Tax Intelligence, Issue 119, April 2006
4 May 2006
Author(s): Ben Rayment, Valentina Sloane

This decision of the Tribunal (see News in Brief in De Voil Issue 118, March 2006) is the latest development in a long-running case concerning the VAT treatment of the provision of off-street parking by local authorities. ...

The Case of Arcadia and Customs Valuation ~ Shining Some Light on the Swamp of Customs Duties Legislation
24 March 2006
Member(s) of Chambers involved in this case: Valentina Sloane

Arcadia is a UK-based retailer operating in the clothes industry which sources garments from numerous worldwide suppliers and imports those garments into the UK.  The appeal concerned claims for overpaid customs duty in the case ...

Centralan Property Ltd v C & E Comrs (Case C-63/04) ~ First published by De Voil Indirect Tax Intelligence, Issue 117, February 2006
3 March 2006
Author(s): Mario Angiolini (Non-Practising)

Centralan Property Ltc v C & E Comrs (Case C-63/04) (Judgment released on 15 December 2005) concerned the proper application of the system of deductions envisaged by Article 20(3) of the Sixth Directive, following the disposal of ...

National Galleries of Scotland v HMRC (2005) Decision 19372 ~ First published by De Voil Indirect Tax Intelligence, Issue 117, February 2006
3 March 2006
Author(s): Alan Bates

In National Galleries of Scotland v HMRC (2005) Decision 19372, the appellant was a non-profit making body the majority of whose activities were financed by Government grants, but which also had some trading income.  Up to and ...

Banks, Universities and Hospitals: the Limits to Tax Avoidance
28 February 2006
Author(s): Ben Lask
Member(s) of Chambers involved in this case: Paul Lasok QC, Christopher Vajda QC, Mario Angiolini (Non-Practising)

On 21 February 2006, the European Court of Justice ("ECJ") delivered its long awaited judgments in three related VAT cases: Halifax, University of Huddersfield and BUPA.  It doing so, it provided ...

Commercial rates of interest applied by High Court on post-Bond House payouts
27 February 2006
Author(s): Alan Bates

The claimant companies had sought judicial review of decisions of HMRC not to pay those companies' input tax claims on the basis of the 'no economic substance' argument that was rejected by the ECJ in Bond House.  Following the ECJ's ...

Bond House ~ To know or to have the means of knowing, that is the question
12 January 2006
Author(s): Melanie Hall QC
Member(s) of Chambers involved in this case: Paul Lasok QC, Ian Hutton

The European Court of Justice delivered its judgment in Bond House on 12 January.  The case was concerned with "carousel fraud" concerning chains of supplies of goods involving a missing trader who defaults on the obligation to account for ...

Difficulties for HMRC in Proving Unjust Enrichment ~ Baines & Ernst Ltd v HMRC [2005] EWHC 2300 (Ch) ~ First published by De Voil Indirect Tax Intelligence, Issue 115, December 2005
9 January 2006
Author(s): Valentina Sloane

Baines & Ernst Ltd (B&E) provides debt management services to clients with personal debts. From 1996 it accounted for output tax to HMRC on the basis that it was making taxable supplies.  Following the VAT tribunal's ...

Lloyds TSB Group Plc v The Commissioners for HM Revenue & Customs (2005) Decision 19330 ~ Article first published by De Voil Indirect Tax Intelligence, Issue 115, December 2005
5 January 2006
Author(s): Peter Mantle, Valentina Sloane

In a decision of 9 November 2005, the VAT & Duties Tribunal (Stephen Oliver QC, Chairman) has given a ruling on the scope of the Commissioners' powers to demand documents under VATA 1994 Sch 11 para 7(2), together with a ruling ...

SmithKline Beecham ~ Commissioners' Binding Tariff Information Goes Up in Smoke
22 July 2005
Author(s): Valentina Sloane

The Order of the European Court of Justice in Case C-206/03 Commissioners of Customs and Excise v. SmithKline Beecham plc (19 January 2005) highlights that classification opinions and explanatory notes issued by the World Customs ...

RAL (Channel Islands) Limited and others v Commissioners of Customs and Excise (Case C-452/03), 12 May 2005 ~ First published in De Voil Indirect Tax Intelligence Issue 109, June 2005
28 June 2005
Author(s): Ben Rayment

The general purpose of Article 9 of the Sixth Directive (77/388/EEC) is to avoid conflicts of jurisdiction which may result in double taxation or non-taxation.  The relevant provisions of Article 9 for the present case are the ...

Case C-465/03 Kretztechnik AG v Finanzamt Linz ~ First published in De Voil Indirect Tax Intelligence, Issue 109, June 2005
20 June 2005
Author(s): Mario Angiolini (Non-Practising)

This case concerned the proper treatment, for the purpose of the Sixth Directive, of issues of shares by a company in order to increase its working capital and whether input tax incurred in relation to such share issue could be ...

Case I/S Fini H v Skatteministeriet ~ Article first published by De Voil Indirect Tax Intelligence, April 2005
4 May 2005
Author(s): Mario Angiolini (Non-Practising)

Cessation of business - Taxable traders who have ceased their economic activity abut continue to be liable for rent and other charges relating to business premises, the lease of which contains a non-termination clause, are entitled to deduct ...

R (Teleos plc & others) v Customs and Excise Commissioners ~ Article first published in De Voil Indirect Tax Intelligence, April 2005
4 May 2005
Author(s): Valentina Sloane

A taxpayer was not entitled to an interim payment under CPR 25.7 unless it satisfied the conditions specified in the rule, which was compatible with European Community law.  The Commissioners had a discretion to make interim payments in ...

Bond House v Customs & Excise: the Triumph of Innocence?
1 April 2005
Author(s): Peter Mantle
Member(s) of Chambers involved in this case: Paul Lasok QC, Ian Hutton

Advocate General Maduro delivered his opinion in Bond House (and joined references Optigen and Fulcrum) in the ECJ on 16 February.  The opinion examines the Commissioners of Customs and Excise's legal approach to 'carousel' ...

Belgium v Temco Europe SA ~ A VAT case note first published in De Voil Indirect Tax Intelligence, February 2005
9 March 2005
Author(s): Josh Holmes

In this case, the Belgian Cour d'Appel referred to the European Court of Justice a question pursuant to Article 234 EC regarding the meaning of a 'letting of immovable property' for the purposes of Article 13B(b) of the Sixth VAT ...

Conde Naste Publication Ltd ~ VAT case note first published by De Voil Indirect Tax Intelligence, February 2005
9 March 2005
Author(s): Rebecca Haynes

The Appellant company, CNP, appealed against the Commissioners' decision refusing to refund previously unrefunded input tax claimed late.  The input tax related solely to staff entertainment expenditure incurred by CNP since April 1973 and ...

Case C-284/03 Belgium v. Temco Europe SA, judgment of 18 November 2004 ~ First published by De Voil Tax Intelligence, February 2005
15 February 2005
Author(s): Josh Holmes

In this case, the Belgian Cour d'Appel referred to the European Court of Justice a question pursuant to Article 234 EC regarding the meaning of a 'letting of immovable property' for the purposes of Article 13B(b) of the Sixth VAT ...

Conde Nast Publications Ltd [VAT Decision 18869] ~ First published by De Voil Indirect Tax Intelligence, February 2005
15 February 2005
Author(s): Rebecca Haynes

The Appellant company, CNP, appealed against the Commissioners' decision refusing to refund previously unrefunded input tax claimed late.  The input tax related solely to staff entertainment expenditure incurred by CNP since April 1973 and ...

Beynon and Partners v C & E Comrs [2004] UKHL 53 ~ First published in De Voil Indirect Tax Intelligence, December 2004
15 December 2004
Author(s): Mario Angiolini (Non-Practising)

Single or multiple supplies - Where a doctor authorised to dispense drugs personally administers those drugs there is no separate supply of goods but a single supply of exempt medical services - Supplies should not be artificially split and tax ...

VAT Cases Overview: Pegasus Birds Ltd and First Choice Hoildays plc ~ First published by De Voil Indirect Tax Intelligence, September 2004
19 October 2004
Author(s): Andrew Macnab

VAT practitioners take note!.  The Court of Appeal has given further guidance on "best judgment" challenges to VAT assessments and the procedure for making such ...

Joined Cases C-487/01 and C-7/02 Gemeente Leusden and Holin Groep Bv Cs V. Staatssecretaris Van Financiën ~ Article first published by De Voil Indirect Tax Intelligence, July 2004
26 July 2004
Author(s): Raymond Hill

The Court of Justice has recently had to decide whether the provisions for adjustment of deductions of input tax contained in Article 20 of the Sixth Directive allowed a Member State to impose an assessment to recover input tax which had already ...

GIL Insurance Limited and Others v Commissioners of Customs and Excise ~ Article first published by De Voil Indirect Tax Intelligence - June 2004
21 July 2004
Author(s): Peter Mantle

Insurance Premium Tax, even where charged at a higher rate identical to the standard rate of VAT and even where that higher rate is only applied to insurance contracts connected with the provision of certain services, is compatible with the Sixth ...

Mr Sudholz' VAT ~ Article first published by The Tax Journal, 14th June 04
21 July 2004
Author(s): Andrew Macnab

Saga Holidays Ltd v C & E Comrs (VAT Decision 18591), VAT & Duties Tribunal ~ First published by De Voil Tax Intelligence, Issue 98, July 2004
15 July 2004
Author(s): Gerry Facenna

Saga Holidays offered its customers discounts for prompt payment, but in accounting for VAT failed to take account of the discounts.  It subsequently submitted a repayment claim and the Commissioners agreed to refund the amounts ...

(1) WHA Ltd (2) Viscount Reinsurance Company Ltd v C & E Comrs [2004] EWCA Civ 559 ~ First published by De Voil Tax Intelligence, Issue 97, June 2004
15 June 2004
Author(s): Peter Mantle, Alan Bates

In the case of a scheme designed to minimise overall liability to VAT related to motor breakdown insurance: (1) Where a UK-based claims handler, contracted to handle motor insurance claims on behalf of an insurer, instructed a garage ...

Commissioners of Customs & Excise v DFS Furniture Co Plc [2004] EWCA Civ 243 ~ Article published by De Voil Indirect Tax Intelligence, April 2004
27 April 2004
Author(s): Valentina Sloane

The legal effect of a judicial decision was not "evidence of facts" within the meaning of s78A(2) of the Value Added Tax Act 1994.  Accordingly, the time limit prescribed for making an assessment for the recovery of excessive repayments to a ...

R v (1) Commissioners of Customs & Excise (2) The Attorney General, ex parte Federation of Technological Industries [2004] EWHC 254 (Admin) ~ Article published by De Voil Indirect Tax Intelligence, April 2004
15 April 2004
Author(s): Mario Angiolini (Non-Practising)

Section 77A and paragraph 4 of Schedule 11, VATA 1994 - An argument that these provisions lacked vires under the Sixth Directive was likely to succeed and the matter should be referred to the ECJ for a preliminary ruling.  All other ...

C&E Commissioners v Laura Ashley Ltd ~ Article first published in De Voil Indirect Tax Intelligence, February 2004
28 February 2004
Author(s): Mario Angiolini (Non-Practising)

Time limits for assessments under VATA 1994 s 73(2) - Where repayment traders submit voluntary disclosures and, as a result of that voluntary disclosure, the Commissioners make a payment to the trader, the time limit for any ...

(1) Telewest Communications Plc (2) Telewest Communications (Publications) Ltd v CCE ~ Article first published by De Voil Indirect Tax Intelligence, February 2004
28 February 2004
Author(s): Valentina Sloane

The provision of television listings magazines to subscribers to the cable television services provided by companies in a television group was, for the purposes of VAT, part of a single supply of which the dominant element was the provision of ...

Assurander-Societet v Skatteministeriet ~ Published in De Voil Tax Intelligence December 2003
4 January 2004
Author(s): Rebecca Haynes

Motor vehicle damage assessments carried out, on behalf of its members, by an association whose members were insurance companies, were neither insurance transactions nor services related to insurance transactions that were performed by insurance ...

LAMIT v CCE ~ Published in De Voil Tax Intelligence - December 2003
4 January 2004
Author(s): Mario Angiolini (Non-Practising)

The High Court dismissed the appeal by the Local Authorities Mutual Investment Trust ("LAMIT") against a decision of the VAT and Duties Tribunal upholding the Commissioners refusal of a claim for input tax made more than 3 years after the ...

Local Authorities Mutual Investment Trust v C & E Comrs [2003] EWHC 2766 (Ch) ~ First published by De Voil Tax Intelligence, Issue 91, December 2004
15 December 2003
Author(s): Mario Angiolini (Non-Practising)

The High Court dismissed the appeal by the Local Authorities Mutual Investment Trust ("LAMIT") against a decision of the VAT and Duties Tribunal upholding the Commissioners refusal of a claim for input tax made more than three years ...

(1) Cabinet Diot (2) Gras Savoye v France, European Court of Human Rights ~ First published by De Voil Tax Intelligence, Issue 88, September 2003
15 September 2003
Author(s): Valentina Sloane

The applicants complained of a violation of Protocol 1 Article 1 of the European Convention on Human Rights in that they had been unable to claim reimbursement of the VAT paid for in ...

Royal and Sun Alliance Insurance group plc v CCE ~ Tax Journal 23 June 2003
23 June 2003

The appeal to the House of Lords in this case raised two important and related questions.  First, do the provisions in respect of leases (treated as supplies of goods) and in respect of continuous supplies of services mean that the supply ...

Colaingrove Ltd v. C&E Comrs ~ EWHC 821, Ch D
1 May 2003
Author(s): Raymond Hill

The Appellant operated caravan parks.  It gave licences to caravan owners to occupy pitches on its sites for five year periods, subject to a notice period from either the caravan owner or from the Appellant. In practice, the average licence ...

Bond House Systems Limited v C&E Comrs ~ VAT Decision 18100
29 April 2003
Author(s): Mario Angiolini (Non-Practising)
Member(s) of Chambers involved in this case: Mario Angiolini (Non-Practising)

Commissioners succeed in arguing that purchases and sales of computer chips entered into by the unwitting participant in a "carousel fraud" did not amount to "economic activity" and that, accordingly, the trader had not incurred any input tax ...

Comments on Recent VAT Cases
6 March 2003
Author(s): Peter Mantle

Gaming machine VAT avoidance scheme involving establishment of Channel Island Company fails as Tribunal holds that place of supply remains in the ...

Kingscrest ~ Commercial Residential Homes for Children and Adults with Learning Disabilities not exempt as providers of activities closely related to hospital or medical care
2 May 2002
Author(s): Peter Mantle
Member(s) of Chambers involved in this case: Nicholas Paines QC, Peter Mantle

The High Court (Pumfrey J.) has upheld the decision of the VAT & Duties Tribunal that the supplies made by commercial residential homes were not exempt under item 4, Group 7, Schedule 9 of VATA, which exempts certain health ...

The EDS case
1 May 2002
Author(s): Melanie Hall QC

In the case of Electronic Data Systems Limited v Customsthe London VAT Tribunal (Dr Brice) certified that and Excise, the case was fit for a "leap-frog" appeal to the Court of Appeal on the basis that the points in issue ...

Abuse of Law and Sales on the High Seas to Final Consumers
1 January 1970
Author(s): Alan Bates
Member(s) of Chambers involved in this case: Melanie Hall QC

The dividing line between legitimate VAT avoidance and 'abuse of law' (or 'abuse of rights') remains a hot topic following the ECJ's judgment in Halifax plc v C&E Com'rs (Case C-255/02) [2006] STC 919.  An ...