swarb.co.uk - law index
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VAT - From: 2000 To: 2000
This page lists 38 cases, and was prepared on 02 April 2018.
Commissioners of Customs and Excise v Royal and Sun Alliance Insurance Group Plc [2000] STC 033
2000
ChD
Park J
Landlord and Tenant, VAT
The taxpayer sought to recover tax it had paid on VAT on rents. It had sublet and at first not charged VAT, but later changed its mind and charged VAT. The Commissioners objected to the reclaim for the earlier period. Held: The tribunal's conclusion was that the direct and immediate link which was required was missing, but the direct and immediate link was not missing. It considered that the quarterly rental payments which RSA made during the vacant unelected periods secured for it a series of separate inputs, each of which lasted for only three months. The court did not accept this analysis. RSA's superior lease of each property was one input, not a multiplicity of separate short-term inputs, and all RSA's payments of rents (including service charge rents) during the vacant unelected periods were cost components of the input.
1 Cites
1 Citers
Marks and Spencer Plc v Commissioners of Customs and Excise Times, 19 January 2000
19 Jan 2000
CA
European, Administrative, VAT
The doctrine of direct effect which gave rise for a private individual against a member state could only operate where the member failed to comply with the requirements of European Law to give effect to such law, and the requirement to put such rules into effect had to be unconditional and precise. A party could not use the doctrine to claim against a member state under European Law in general.
1 Cites
1 Citers
Brian Cantrell and Eileen Cantrell t/a Foxearth Lodge Nursing Home v Commissioners of Customs and Excise [2002] EWHC Admin 283
28 Jan 2000
Admn
VAT
[ Bailii ]
Commissioners of Customs and Excise v Plantiflor Ltd Times, 10 February 2000; [2000] EWCA Civ 26
3 Feb 2000
CA
VAT
Where a company was delivering goods to its customers by sending them via the Royal Mail passing on to the customer only the direct cost charged to it by Royal Mail, there was no obligation to levy VAT on that charge. The items delivered were postal packets, and the arrangement was in effect that the company acted as the agent of the customer in paying on the carrier's charges.
Value Added Tax Act 1994 31 Sch 9 Grp 3
[ Bailii ]
Amengual Far v Amengual Far C-12/98; [2002] STC 382; [2000] EUECJ C-12/98
3 Feb 2000
ECJ
European, VAT
Europa Article 13B(b) of the Sixth Directive 77/388 on the harmonisation of the laws of the Member States relating to turnover taxes allows Member States to lay down a general rule making lettings of immovable property subject to VAT and exempting from that rule only lettings of immovable property to be used for dwelling purposes. In EU law exceptions to a general principle are generally interpreted restrictively: "This criterion has been consistently followed in the case law of this court".
1 Citers
[ Bailii ]
Mirror Group Newspapers Ltd v Commissioners of Customs and Excise Gazette, 24 February 2000; Times, 07 March 2000; [2000] EWHC Admin 287
8 Feb 2000
Admn
Lightman J
Company, VAT
The company incurred costs on the issue of shares issued and sold in part within the EU and in part outside. It sought to reclaim the VAT on the payments made. The issue of shares was a supply of services even though there was no transfer or depletion of resources. The six accepted elements for a supply need not be extended to include such a requirement. The input tax insofar as it related to the sale of shares to persons within the EU was not recoverable.
[ Bailii ]
Pegasus Birds Ltd v Commissioners of Customs and Excise Times, 10 February 2000; [2000] STC 91
10 Feb 2000
CA
Aldous LJ
VAT, Customs and Excise
The company were said to have kept inadequate VAT Records. The parties disputed the sums due or evaded, and an assessment was only finally issued in 1997, at which point the taxpayer said that the assessment was out of time under section 73(6)(b). Held: The taxpayer's appeal failed. The limit of one year imposed upon the raising of an assessment by the commissioners was intended to protect the taxpayer, and not to penalise the commissioners. Accordingly it was appropriate to allow an assessment raised after the time limit, but where the information which made the assessment appropriate had been discovered by the commissioners later.
Whether or not and when the information on which the late assessment was issued was a matter for the opinion of the Commissioner founded on the facts. In this case the Commissioner's conclusion was not one that no reasonable commissioner could have reached.
Value Added Tax Act 1994 73(6)(b)
1 Cites
1 Citers
Nationwide Access Ltd Ptp Aerial Platforms Ltd v Commissioners of Customs and Excise [2000] EWHC Admin 290
14 Feb 2000
Admn
VAT
[ Bailii ]
Parker Hale Ltd v Commissioners of Customs and Excise Times, 18 April 2000
18 Apr 2000
QBD
VAT
The scheme for the payment of compensation for the enforced surrender of handguns was a VATable supply. The transfer of ownership of the guns to the government in return for the compensation was a supply of goods within the Act.
Firearms Amendment Act 1997
Higher Education Statistics Agency Ltd v Commissioners of Customs and Excise Times, 19 April 2000
19 Apr 2000
QBD
VAT
When purchasing a business as a going concern, and land bought at auction was included, then in order to take the land purchase outside the scope of VAT, the 'option to tax' election and notification of that election had to be effected before the deposit was paid, and not merely before completion.
VAT (Special Provisions) Order 1995 (1995 No 1268)
Peninsular and Oriental Steam Navigation Co v Customs and Excise Gazette, 31 May 2000
31 May 2000
ChD
VAT, Transport
The appellant operated a passenger ferry which began and finished within EU member states, but passed through international waters. They contended that goods sold otherwise than for immediate consumption were supplied outside the EU, and therefore were exempt supplies. It was held that to achieve that a call at a port outside the EU would be necessary. In the absence of such a call, the supplies were taxable according to the VAT laws of the port of embarkation.
Peninsular and Oriental Steam Navigation Co v Commissioners of Customs and Excise Times, 07 June 2000
7 Jun 2000
ChD
VAT
Where a ferry service operated in international waters, but each end of the journey was at an EU port, goods sold on board were taxable under VAT as at the port from which the ship departed. To become exempt, the ship must have some non-EU port of call.
Sixth Council Directive (77/388/EEC) on the harmonisation of turnover taxes Art 8.1(c)
Finanzamt Goslar v Breitshol (Judgment) [2001] STC 355; C-400/98; [2000] EUECJ C-400/98
8 Jun 2000
ECJ
European, VAT
1 Citers
[ Bailii ]
Midland Bank plc v Customs and Excise Commissioners Times, 16 June 2000; C-98/98; [2000] STC 501; [2000] 1 WLR 2080; [2000] EUECJ C-98/98
8 Jun 2000
ECJ
VAT, European
If there is a clear and direct link between the purchase of goods and their use in output transactions on which VAT was payable, input tax was deductible even if VAT was not deductible in respect of all the supplies. Where the link is indirect than the tax may be deductible only in part. Legal services provided to a Bank first in support of financial services and then in an action for damages for negligence were directly connected. It was for the national court to interpret that connection. The deduction system is meant to relieve the trader entirely of the burden of the VAT payable or paid in the course of all his economic activities, provided that such activities are themselves, in principle, subject to VAT.
First Council Directive 67/227/EEC on the harmonization of turnover taxes.
1 Citers
[ Bailii ]
Mcnicholas Construction Co Ltd v HM Commissioners of Customs and Excise [2000] EWHC Admin 357
16 Jun 2000
Admn
VAT
[ Bailii ]
Commissioners of Customs and Excise v Littlewoods Organisation Plc Times, 04 July 2000
4 Jul 2000
ChD
VAT, Agency
The enhanced commission paid to mail order catalogue agents for supplying services to the company and which was to be set off against goods purchased by the agents themselves from the mail order company were vatable. The commission earned represented in part a discount on the goods purchased, but in reality was also a consideration for the supply of the agents' services.
Sixth Council Directive 77/388/EEC
1 Cites
1 Citers
Ideal tourisme SA --v Belgian State C-36/99; [2001] STC 1386; [2000] EUECJ C-36/99
13 Jul 2000
ECJ
European, VAT
Europa In the present state of harmonisation of the laws of the Member States relating to the common system of value added tax, the Community principle of equal treatment does not preclude legislation of a Member State which on the one hand, in accordance with Article 28(3)(b) of Sixth Directive 77/388 on the harmonisation of the laws of the Member States relating to turnover taxes, in the version of Directive 96/95 amending, with regard to the level of the standard rate of value added tax, Directive 77/388, continues to exempt international passenger transport by air, and on the other hand taxes international passenger transport by coach.
VAT - Sixth Directive 77/388/EEC - Transitional provisions - Retention of the exemption for international passenger transport by air - No exemption for international passenger transport by coach - Discrimination - State aid.
1 Citers
[ Bailii ]
Commissioner for Customs and Excise v FDR [2000] EWCA Civ 216
13 Jul 2000
CA
VAT
[ Bailii ]
Regina and The Commissioners Of Customs And Excise v British Sky Broadcasting Group Plc [2000] EWHC Admin 370
14 Jul 2000
Admn
Langley
VAT
[ Bailii ]
Commissioners of Customs and Excise v First Choice Holidays Plc Times, 25 July 2000; Gazette, 20 July 2000
20 Jul 2000
ChD
VAT
A travel agent sold holidays at a discount, but still paid the full list price to the tour operator. The tour operator remained liable for VAT on the full price as paid to him. The discount was entirely between the travel agent and his client.
Co-Operative Wholesale Society Limited v Commissioners of Customs and Excise [2000] EWCA Civ 227; [2000] EWCA Civ 227
26 Jul 2000
CA
Lord Justice Simon Brown Lord Justice Waller And Mr Justice Gage
VAT
The taxpayer appealed a decision of the VAT tribunal. The taxpayer entered into contracts with its members to provide services, including funeral services. Part of the payments was agreed to be in respect of exempt services, but the charge included an element for administration. The taxpayer asserted that they were not dissociable. Held: The only possible way of reading the arrangement lead to the conclusion that the payment was for two services, of which one was liable to VAT. Appeal dismissed.
Value Added Tax Act 1994 Schedule 9 Group 8
[ Bailii ]
Commissioners of Customs and Excise v Barclays Bank Plc Times, 11 August 2000; Gazette, 27 July 2000
27 Jul 2000
ChD
VAT
Where a subsidiary company was sold outside the VAT group. The commissioners had no discretion, but when the two shares in the company were transferred into a charitable trust, the grouping for VAT was no longer applicable.
Value Added Tax Act 1983
Commissioners of Customs and Excise v Broomco (1984) Ltd (Formerly Anchor Foods Ltd); CA 17-Aug-2000 - Times, 17 August 2000
Co-Operative Wholesale Society Ltd v Commissioners of Customs and Excise; CA 31-Aug-2000 - Times, 31 August 2000; Gazette, 12 October 2000
Lex Services Plc v Commissioners of Customs and Excise; ChD 7-Sep-2000 - Times, 17 October 2000; Gazette, 07 September 2000; [2000] STC 697
Commission v Netherlands C-408/97; [2000] EUECJ C-408/97
12 Sep 2000
ECJ
European, VAT
Failure to fulfil obligations - Article 4(5) of the Sixth VAT Directive - Access to roads on payment of a toll - Failure to levy VAT.
[ Bailii ]
Ampafrance SA v Directeur des Services Fiscaux de Maine-et-Loire C-177/99; [2000] ECR I-7013; [2000] EUECJ C-177/99
19 Sep 2000
ECJ
European, VAT
Europa 1. Council Decision 89/487, adopted on the basis of Article 27 of Sixth Directive 77/388 on the harmonisation of the laws of the Member States relating to turnover taxes, which provides that a Member State may be authorised to introduce special measures for derogation from the Sixth Directive in order to simplify the procedure for charging the tax or to prevent certain types of tax evasion or avoidance, and authorising the French Republic to apply a measure derogating from the second subparagraph of Article 17(6) of the Sixth Directive, is invalid under the general principle of proportionality, in so far as it authorises that State to deny traders the right to deduct the value added tax on expenditure which they are able to show to be of a strictly business nature.
Since the measure excludes as a matter of principle all expenditure in respect of accommodation, hospitality, food and entertainment from the right to deduct value added tax, which is a fundamental principle of the value added tax system established by the Sixth Directive, although appropriate means less detrimental to that principle than the exclusion of the right of deduction in the case of certain expenditure can be contemplated or already exist in the national legal order, it is not a means proportionate to that objective and has a disproportionate effect on the objectives and principles of the Sixth Directive.
2. The principle of the protection of legitimate expectations, which is the corollary of the principle of legal certainty and which is generally relied upon by individuals (traders) in a situation where they have legitimate expectations created by the public authorities, cannot be relied on by a Member State in order to avoid the consequences of a decision of the Court declaring a Community provision invalid, since it would jeopardise the possibility for individuals to be protected against conduct of the public authorities based on unlawful rules.
1 Citers
[ Bailii ]
Ampafrance (Taxation) C-181/99; [2000] EUECJ C-181/99
19 Sep 2000
ECJ
European, VAT
Value added tax - net of tax - exclusion of deduction - the cost of representation - Proportionality.
[ Bailii ]
Commission of the European Communities v United Kingdom Case C-359/97 Times, 10 October 2000
10 Oct 2000
ECJ
VAT, Transport, European
The UK had not complied with its obligations to the commission with regard to VAT in that it had failed to apply VAT to the collection of tolls on the use of roads and bridges where operated privately. The fact that similar operations were carried out by public bodies which would be exempt was insufficient to cause private operators to be exempt. Because the UK had failed to collect these sums, its accounting with the Commission was also in error.
Commissioners of Customs and Excise v E Reece Ltd Times, 11 October 2000
11 Oct 2000
ChD
VAT
The taxpayer company had imported bicycles from Vietnam, relying upon certificates of origin which would give them exemption from VAT. After clearance, it was discovered that the certificates had been obtained by fraud. The regulations exempted only where the certificates had been wrongly obtained by accident. Though the taxpayer was not party to the fraud, he could not rely upon the exporter's fraud to maintain the exemption certificate.
Royal and Sun Alliance Insurance Group plc v Commissioners of Customs and Excise Gazette, 12 October 2000
12 Oct 2000
ChD
Landlord and Tenant, VAT
Tenants of long lease where the landlord had elected to charge VAT, decided to seek sub-tenants. They delayed election themselves in order to assist such sub-tenants, but eventually waved their exemption and sought to reclaim the VAT paid to their own landlords. The commissioners objected. The deduction system was fundamental, and intended to relieve businesses of liability for the final responsibility for VAT, the payments which had been made were properly cost payments within the Directive, and the rentals could not be seen as a series of short lived inputs.
VAT Regulations 1995/2518 - Value Added Tax Act 1994
D v W Times, 24 October 2000; C-384/98
24 Oct 2000
ECJ
VAT, European
The fact that a service was provided by a doctor did not mean of itself that it came within Art 13 of the Directive. The test was whether the service was part a provision of care by diagnosing and treating some diseases or disorder. The carrying out of investigations to establish genetic differences, which was to provide evidence in paternity proceedings in a court was not part of such a process, and so did not attract exemption from VAT.
Sixth Council Directive 77/388/EC on the harmonisation of laws of the member states relating to turnover taxes; common system of value added tax Art 13
Gray (T/A William Gray and Sons) v Commissioners of Customs and Excise Times, 07 November 2000
7 Nov 2000
ChD
VAT
The trader carried on business as a builder both through a limited company and on his own account. He tried to apportion the businesses so that neither was registerable for VAT. In one period he exceeded the limit. He asked the commissioners to exercise their discretion not to register him retrospectively acknowledging that his turnover later returned to levels below the threshold. It was held that the Commissioners could only act on the basis of the facts as they would have appeared at the time he should have applied. The process was intended to be a speedy one, and was an estimate of future activity.
Value Added Tax Act 1994 Sch 1 para 1 (3)
Regina v Commissioners of Customs and Excise, Ex Parte Building Societies Ombudsman Co Ltd Times, 08 November 2000
8 Nov 2000
CA
Taxes Management, VAT
Law had been introduced which restricted retrospectively the ability of taxpayers to reclaim overpaid VAT to a period of three years. Such legislation did not however allow the Commissioners to seek to recover repayments already repaid in the period immediately before the legislation came into effect.
Provisional Collection of Taxes Act 1986
Rap Group Plc v Commissioners of Customs and Excise Times, 16 November 2000; Gazette, 23 November 2000
16 Nov 2000
ChD
VAT
Where the chain of supplies was broken by an exempt supply, the taxpayer could not reclaim input VAT on supplies purchased in order to provide those exempt supplies. The supply of professional services to support the issuance of shares was exempt, and no VAT was reclaimable even though there were components which involved a non-exempt supply. The directness and immediacy of the connection was a matter of fact in each case.
Emsland-Starke GmbH v Hauptzollamt Hamburg-Jonas C-110/99; [2000] ECR I-11569; [2000] EUECJ C-110/99
14 Dec 2000
ECJ
G.C. Rodriguez Iglesias, P
European, VAT, Agriculture
ECJ Articles 9(1), 10(1) and 20(2) to (6) of Regulation No 2730/79 laying down common detailed rules for the application of the system of export refunds on agricultural products, in the version resulting from Regulation No 568/85, must be interpreted as meaning that a Community exporter can forfeit his right to payment of a non-differentiated export refund if (a) the product in respect of which the export refund was paid, and which is sold to a purchaser established in a non-member country, is, immediately after its release for home use in that non-member country, transported back to the Community under the external Community transit procedure and is there released for home use on payment of import duties, without any infringement being established and (b) that operation constitutes an abuse on the part of that Community exporter. A finding that there is an abuse presupposes an intention on the part of the Community exporter to benefit from an advantage as a result of the application of the Community rules by artificially creating the conditions for obtaining it. Evidence of this must be placed before the national court in accordance with the rules of national law, for instance by establishing that there was collusion between that exporter and the importer of the goods into the non-member country. The fact that, before being re-imported into the Community, the product was sold by the purchaser established in the non-member country concerned to an undertaking also established in that country with which he has personal and commercial links is one of the facts which can be taken into account by the national court when ascertaining whether the conditions giving rise to an obligation to repay refunds are fulfilled.
The exporter was refused a rebate of duty to which he was entitled on the face of the relevant Commission Regulation upon the export of his goods, because he had abused the law by claiming it in respect of goods which had been exported to a third country only to be at once re-imported into the country of origin. The court held at para 59 that:
"a finding that there has been an abuse presupposes an intention on the part of the Community exporter to benefit from an advantage as a result of the application of the Community rules by artificially creating the conditions for obtaining it."
The essential reason why the trading scheme failed was that the choice of a circular supply route did not involve a choice between different methods of achieving the trader's commercial purpose. It had no commercial purpose other than the avoidance of tax.
1 Citers
[ Bailii ]
Commissioners of Customs and Excise v Century Life Plc [2000] EWCA Civ 336; [2001] STC 38
19 Dec 2000
CA
The President Lord Justice Kennedy And Mr Justice Jacob
VAT, European
The Directive required member states to exempt from VAT, services involving the provision of insurance, and for intermediaries. Following the Regulator's involvement, the principal company had to arrange for the checking of existing policies, and the implementation of compensation arrangements, and sub-contracted it to the taxpayer. Had the principal privided the services itself, it would have had exemption. They claimed exemption. The Act did not reflect, it was claimed, the Directive it implemented. Held: The Act did implement the Directive correctly, albeit in more complicated language. The activity was exempt. Appeal dismissed.
VAT Act 1994 S9 G2 P4 - Sixth Directive (77/388/EEC) 13B
1 Cites
1 Citers
[ Bailii ]
Kuwait Petroleum (GB) Ltd v Customs and Excise [2001] STC 62
20 Dec 2000
ChD
Laddie J
VAT
1 Citers
