Category: VAT

Loyalty points operator is entitled to VAT credit

Loyalty Management UK Ltd v Revenue and Customs Commissioners

Court of Appeal

“The supply of goods or services made by the dealer or redeemer of consumer loyalty points to the collector or customer was, for the purpose of value-added tax, the supply of goods or services by the dealer to the operator of the scheme, who was therefore entitled to tax credits from the Revenue in respect of that supply or service.”

The Times, 10th October 2007

Source: www.timesonline.co.uk

Please note the Times Law Reports are only available free on Times Online for 21 days from the date of publication.

Loyalty Management UK Ltd v Commissioners for HM Revenue and Customs [2007] EWCA Civ 1928

“The supply of goods or services by a retailer when redeeming loyalty points collected by a customer under the Nectar Loyalty Scheme was, for VAT purposes, a supply of “redemption services” to the scheme operator, as well as of goods and services to the customer, and the scheme operator was therefore entitled to input tax credit on its payments, by way of a “service charge”, to the retailer.”

WLR Daily, 9th October 2007

Source: www.lawreports.co.uk Please note: once a case has been fully reported in one of the ICLR series the corresponding WLR Daily summary is removed.

Late appeal is no defence to failing to give VAT security

Chaudhry v Revenue and Customs Commissioners

Queen’s Bench Division

“The lodging of a late appeal to a value-added tax tribunal provided no defence to a charge of continuing to supply goods or services after receipt from the Revenue and Customs of a notice requiring payment of a security.”

The Times, 2nd August 2007

Source: www.timesonline.co.uk

Please note the Times Law Reports are only available free on Times Online for 21 days from the date of publication

Taxpayer not entitled to reduce VAT

Commissioners for Revenue and Customs v BUPA Purchasing Ltd and Others

Court of Appeal

“Where the Commissioners for Revenue and Custome had made a value-added tax assessment and the time limit for making any further assessment had passed before they became aware that further input tax was deductible, the taxpayer was not entitled to reduce the amount of VAT stated due in the assessment to take account of output tax which had not yet been taken into account and which arose from the same transaction.”

The Times, 5th July 2007

Source: www.timesonline.co.uk

Please note: the Times Law Reports are only available free on Times Online for 21 days from the date of publication

Licence auction not in VAT system

Hutchison 3G UK Ltd and Others v Commissioners of Revenue and Customs Case C-369/04

Court of Justice of the European Communities

“The public auction by a government agency of third-generation universal mobile telecommunications system licences was not an economic activity and therefore did not come within the value-added tax system.”

The Times, 3rd July 2007

Source: www.timesonline.co.uk

Please note the Times Law Reports are only available free on Times Online for 21 days from the date of publication.

Overpaid VAT claim passed on

Midlands Co-operative Society Ltd v Revenue and Customs Commissioners

Chancery Division

“A taxable person entitled to the benefit of an overpayment claim of value-added tax was entitled to pass the benefit of that claim to another.”

The Times, 29th June 2007

Source: www.timesonline.co.uk

Please note the Times Law Reports are only available free on Times Online for 21 days from the date of publication.

Midlands Co-operative Society Ltd. v. Revenue and Customs Commissioners [2007] EWHC 1432 (Ch) 

“The Value Added Tax Act 1994 and its associated Regulations allowed the benefit of a claim under s 80 of the Act for overpaid output tax to be assigned.”

WLR Daily, 19th June 2007

Source: www.lawreports.co.uk

Please note once a case has been fully reported in one of the ICLR series the corresponding WLR Daily summary is removed.