In Fenix International Ltd v HMRC [2020] UKFTT 499 (TC) (15 December 2020) the FTT referred a question to the CJEU as to whether article 9a of Council Implementing Regulation 282/2011/EU is invalid on the basis that it exceeds the relevant implementing power in the VAT Directive. The question arose in the context of a dispute about the VAT treatment of electronically supplied services.
This case provides an interesting variant of an EU law argument: not whether the domestic legislation correctly implements EU law but whether the underlying EU provision is itself valid. One effect of this is that the threshold for a court or tribunal to make a referral to the CJEU is low as national courts do not have the power to decide whether EU provisions are valid.
The taxpayer operated a pay-to-view social media website. Users of the site were divided into ‘creators’ and ‘fans’....
