In Antiques Within Ltd v HMRC (TC02507 – 13 February) a company operated an ‘antique centre’ and rented out about 70% of its floor space to stallholders. It did not account for tax on the payments it received from the stallholders. HMRC issued an assessment charging tax on them and the company appealed contending that it was supplying a licence to occupy land which was exempt from VAT. The First-tier Tribunal allowed the appeal in part. Judge Mitting held that the company was making two separate supplies i.e. an exempt supply of land and a taxable supply of a sales service so that the consideration should be apportioned.
Why it matters: The First-tier Tribunal held that the company was making two separate supplies so...
