The call for evidence implies that HMT is looking into two potentially significant changes to VAT grouping provisions: limiting UK VAT grouping to UK establishments only; and making it compulsory. It is also considering allowing limited partnerships to join VAT groups. These changes, should they be implemented, are likely to increase VAT costs for organisations that have non-UK establishments in VAT groups, but with the trade-off of reduced compliance burden. For financial services business, amongst those most likely to be impacted, these changes would represent one of the biggest changes to VAT rules in many years.
If you are not a subscriber, subscribe now to read this content.
The call for evidence implies that HMT is looking into two potentially significant changes to VAT grouping provisions: limiting UK VAT grouping to UK establishments only; and making it compulsory. It is also considering allowing limited partnerships to join VAT groups. These changes, should they be implemented, are likely to increase VAT costs for organisations that have non-UK establishments in VAT groups, but with the trade-off of reduced compliance burden. For financial services business, amongst those most likely to be impacted, these changes would represent one of the biggest changes to VAT rules in many years.
If you are not a subscriber, subscribe now to read this content.
.tmb-editorspic.jpg?sfvrsn=df04ab27_1)
