Lee Squires and Fiona Bantock (Hogan Lovells) report the latest VAT developments that matter.
Colaingrove: reduced-rated elements of composite supplies
In Colaingrove Ltd v HMRC [2017] EWCA Civ 332 (reported in Tax Journal 12 May 2017) the Court of Appeal (CA) held that the reduced 5% rate of VAT did not apply to a fixed charge for electricity paid by holidaymakers when renting a static holiday caravan.
Colaingrove contracted with the Sun newspaper to provide caravan holidays to readers who paid a small sum for caravan accommodation and for using the caravan facilities (including electricity). Supplies of domestic fuel or power are subject to the reduced rate of VAT pursuant to VATA 1994 Sch 7A Group 1. The sole issue before the CA was whether that reduced rate of VAT applied to a supply of fuel which under general principles would be treated as...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
Lee Squires and Fiona Bantock (Hogan Lovells) report the latest VAT developments that matter.
Colaingrove: reduced-rated elements of composite supplies
In Colaingrove Ltd v HMRC [2017] EWCA Civ 332 (reported in Tax Journal 12 May 2017) the Court of Appeal (CA) held that the reduced 5% rate of VAT did not apply to a fixed charge for electricity paid by holidaymakers when renting a static holiday caravan.
Colaingrove contracted with the Sun newspaper to provide caravan holidays to readers who paid a small sum for caravan accommodation and for using the caravan facilities (including electricity). Supplies of domestic fuel or power are subject to the reduced rate of VAT pursuant to VATA 1994 Sch 7A Group 1. The sole issue before the CA was whether that reduced rate of VAT applied to a supply of fuel which under general principles would be treated as...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
