Europa On a proper construction of Article 13B(d)(5) of the Sixth Directive 77/388 on the harmonisation of the laws of the Member States relating to turnover taxes transactions in securities means transactions liable to create, alter or extinguish parties’ rights and obligations in respect of securities; it does not mean the supply of a mere physical, technical or administrative service which does not alter the legal or financial situation. Negotiation in securities does not cover services, performed by a subcontractor to a party to a contract relating to a financial product, limited to providing information about the financial product and, as the case may be, receiving and processing applications for subscription to the relevant securities, without issuing them. It does, on the other hand, cover the separate service rendered to a party to such a contract by an intermediary consisting, amongst other things, in pointing out suitable opportunities for the conclusion of such a contract, making contact with another party or negotiating, in the name of and on behalf of a client, the detail of the payments to be made by either side.
Citations:
C-235/00, [2001] EUECJ C-235/00
Links:
Jurisdiction:
European
Cited by:
Cited – Commissioners of Customs and Excise v Institute of Directors, BAA Plc v Commissioners of Customs and Excise CA 11-Dec-2002
The court examined arrangements whereby organisations which were not banks, endorsed credit cards to be issued by banks to their members.
Held: The granting of credit was exempt from VAT, and also were exempted negotiations of credit and the . .
Lists of cited by and citing cases may be incomplete.
European, VAT
Updated: 07 July 2022; Ref: scu.167136
