The recent judgment of the CJEU in Field Fisher Waterhouse LLP v HMRC (Case C-392/11), which concerns the VAT liability of services provided to tenants under a property lease, arguably diverges from the approach taken in Tellmer. This creates uncertainty for taxpayers with disputes concerning single versus multiple supplies which have heavily relied on Tellmer. The judgment is also noticeable because the important issue of embedded input VAT, for which HMRC made submissions, was not addressed by the Court.
