Lee Squires and Fiona Bantock (Hogan Lovells) report the latest VAT developments that matter.
Adecco: supplies of staff
In Adecco UK Ltd v HMRC [2017] UKUT 113 (TCC) (reported in Tax Journal 24 March 2017) the Upper Tribunal (UT) considered the VAT treatment of supplies of self-employed temporary workers by an employment business. Following the First-tier Tribunal (FTT) decision in Reed Employment Ltd [2011] UKFTT 200 (TC) Adecco had sought to argue that VAT should only be accounted for on its commission and that the wages of the temps (which were paid by Adecco but reimbursed by the clients) were not part of the consideration for its taxable supplies. By contrast HMRC maintained that VAT should be accounted for on the whole amount that the client paid Adecco (i.e. both the wages of the workers...
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Lee Squires and Fiona Bantock (Hogan Lovells) report the latest VAT developments that matter.
Adecco: supplies of staff
In Adecco UK Ltd v HMRC [2017] UKUT 113 (TCC) (reported in Tax Journal 24 March 2017) the Upper Tribunal (UT) considered the VAT treatment of supplies of self-employed temporary workers by an employment business. Following the First-tier Tribunal (FTT) decision in Reed Employment Ltd [2011] UKFTT 200 (TC) Adecco had sought to argue that VAT should only be accounted for on its commission and that the wages of the temps (which were paid by Adecco but reimbursed by the clients) were not part of the consideration for its taxable supplies. By contrast HMRC maintained that VAT should be accounted for on the whole amount that the client paid Adecco (i.e. both the wages of the workers...
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If you do not subscribe but are a registered user, please enter your details in the following boxes:
