Multiple and Composite Supplies

The concept of multiple and composite supplies is one that has been a problem in the VAT world since the tax was introduced more than 30 years ago. It should be a simple concept to understand: a composite supply is a single supply comprising of several elements; a multiple supply is several separate supplies supplied in one package. The elements of a composite supply could be separate supplies if they were supplied separately but when they are supplied together they are treated as a single composite supply. This single supply has a single VAT liability (even if the component parts have more than one VAT liability when supplied separately or independently) and...