In Airparks Services Ltd v HMRC (and related appeal) (Upper Tribunal – 4 April) two companies advertised car parking facilities at airports. Some of their car parks were situated about five miles from the airport terminals. The companies therefore provided courtesy buses between the car parks and the airports.
From 1995 to 2006 the companies accounted for tax on these payments. However in 2006 they submitted repayment claims contending that part of the consideration they received should be attributed to zero-rated supplies of transport and that VATA 1994 Sch 8 Group 8 Note 4A(b) was invalid under EC law since it breached the principle of fiscal neutrality.
The First-tier Tribunal rejected the companies’ contentions and dismissed the appeals holding that the companies were making single supplies of parking facilities and that the supplies of transport were incidental.
The companies...
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:
In Airparks Services Ltd v HMRC (and related appeal) (Upper Tribunal – 4 April) two companies advertised car parking facilities at airports. Some of their car parks were situated about five miles from the airport terminals. The companies therefore provided courtesy buses between the car parks and the airports.
From 1995 to 2006 the companies accounted for tax on these payments. However in 2006 they submitted repayment claims contending that part of the consideration they received should be attributed to zero-rated supplies of transport and that VATA 1994 Sch 8 Group 8 Note 4A(b) was invalid under EC law since it breached the principle of fiscal neutrality.
The First-tier Tribunal rejected the companies’ contentions and dismissed the appeals holding that the companies were making single supplies of parking facilities and that the supplies of transport were incidental.
The companies...
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:
