VAT developments that matter this month are: ECJ confirmed that assignment of debts at a discount is not a taxable supply of debt collection by the assignee in GFKL Financial Services; in Sauer-Danfoss, the ECJ held that customers who have borne indirect tax in breach of EU law may recover that tax directly from the tax authority where they are unable to recover it from the supplier; and, in Grattan, the Upper Tribunal allowed a reference to the ECJ on whether (if there is an EU law right to compound interest) taxpayers should be entitled to claim overpaid VAT and compound interest in one set of proceedings.
