In Secret Hotels2 Ltd v HMRC (Upper Tribunal – 1 August) a company (S) operated a website through which it marketed hotel accommodation outside the UK.
About 94% of its sales were to travel agents and about 6% to holidaymakers. It failed to account for VAT on its supplies.
HMRC issued assessments charging output tax of more than £7 000 000. S appealed contending that it was acting as an agent for the owners of the hotels and should not be required to account for UK VAT.
The Upper Tribunal accepted this contention and allowed the appeal (reversing the First-tier decision). Morgan J held that ‘the question as to the identity of the supplier of holiday accommodation is to be answered by considering the contracts entered into between the...
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In Secret Hotels2 Ltd v HMRC (Upper Tribunal – 1 August) a company (S) operated a website through which it marketed hotel accommodation outside the UK.
About 94% of its sales were to travel agents and about 6% to holidaymakers. It failed to account for VAT on its supplies.
HMRC issued assessments charging output tax of more than £7 000 000. S appealed contending that it was acting as an agent for the owners of the hotels and should not be required to account for UK VAT.
The Upper Tribunal accepted this contention and allowed the appeal (reversing the First-tier decision). Morgan J held that ‘the question as to the identity of the supplier of holiday accommodation is to be answered by considering the contracts entered into between the...
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If you do not subscribe but are a registered user, please enter your details in the following boxes:
