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These cases are from the lawindexpro database. They are now being transferred to the swarb.co.uk website in a better form. As a case is published there, an entry here will link to it. The swarb.co.uk site includes many later cases.  














VAT - From: 1998 To: 1998

This page lists 42 cases, and was prepared on 02 April 2018.

 
Belgische Staat v Ghent Coal Terminal (Judgment) Times, 04 February 1998; C-37/95; [1998] ECR I-1; [1998] EUECJ C-37/95
15 Jan 1998
ECJ

VAT, European
Once a right of deduction had been exercised because the inputs were for the purpose of investment work intended to be used in connection with taxable transactions, the authorities may not claim repayment merely because the taxpayer has been unable to use the goods or services for the intended purpose.
Sixth Council Directive 77/388/EEC May 1977 Art 17
1 Citers

[ Bailii ]
 
In the Matter of Value Added Tax Act 1994 and Tribunal Inquiries Act 1992 and In the Matter of Appeals Against a Decision of Value Added Tax Tribunal Sitting In Manchester [1998] EWHC Admin 55
23 Jan 1998
Admn

VAT

[ Bailii ]
 
Commissioner of Customs and Excise v Westmoreland Motorway Services Limited [1998] EWCA Civ 114
30 Jan 1998
CA

VAT

[ Bailii ]
 
Commissioners of Customs and Excise v British Field Sports Society Times, 04 February 1998
4 Feb 1998
CA

VAT
Campaigning and related public relations activities of society properly part of the business activities and input tax reclaimable.
Value Added Tax Act 1983 47(2)(a)

 
Commissioners of Customs and Excise v Westmorland Motorway Services Ltd Times, 05 February 1998; [1998] STC 431
5 Feb 1998
CA
Hutchinson LJ
VAT
Westmorland ran motorway service stations. Its practice, known to coach drivers, was to provide, without payment, a packet of cigarettes and a self-service meal (chosen from its usual menu) to any coach driver who brought a coach with at least twenty passengers and stopped for at least thirty minutes. The issue was to quantify the non-monetary consideration for Westmorland's taxable supply of cigarettes, food and soft drink. Held:The consideration was to be determined by reference to Westmorland's normal retail prices (and not the cost to Westmorland of the goods supplied). The court summarised the effect of the Naturally Yours and Empire Stores cases: "The principles derived from the two cases to which I have referred are as follows. (1) Where the consideration is not money, it must be capable of being expressed in monetary terms, and there must be a direct link between the relevant supply and that which is alleged to have been the consideration for it. (2) The value of the non-monetary element must be assessed on a subjective rather than an objective basis. (3) Where the parties have expressly or implicitly attributed a value to that element in money terms that determines its value. (4) Where, however, the parties have not done this, the value can only be the price which the supplier has paid for the articles which he is supplying free of charge in return for the services in question.
Value Added Tax Act 1983
1 Cites

1 Citers


 
Commissioners of Customs and Excise v Liverpool School of Performing Arts Times, 10 February 1998
10 Feb 1998
QBD

VAT
Where there had been a mixture of supplies both here and abroad, but all were of a taxable nature, they were all to be included for the purposes of the allocation of input taxes.
Value Added Tax (General) Regulations 1985 (1985 No 886)

 
Network Insurance Brokers Limited v Commissioners of Customs and Excise [1998] EWHC Admin 178
12 Feb 1998
Admn

VAT

[ Bailii ]
 
Blasi v Finanzamt Munchen C-346/95; [1998] ECR 1-481; [1998] EUECJ C-346/95
12 Feb 1998
ECJ

European, VAT, Landlord and Tenant
ECJ Article 13.B(b)(1) of Sixth Directive 77/388 on the harmonisation of the laws of the Member States relating to turnover taxes may be construed as meaning that the provision of short-term accommodation for guests is taxable, as constituting the provision of accommodation in sectors with a function similar to that of the hotel sector. In that regard, Article 13.B(b)(1) does not preclude taxation in respect of letting agreements concluded for a period of less than six months, if that duration is deemed to reflect the parties' intention. It is, however, for the national court to determine whether, in a case before it, certain factors (such as the automatic renewal of the letting agreement) suggest that the duration stated in the letting agreement does not reflect the parties' true intention, in which case the actual total duration of the accommodation, rather than that specified in the letting agreement, would have to be taken into consideration. A distinction drawn by Member States, who enjoy a margin of discretion in this regard, between accommodation in the hotel sector and the letting of dwelling accommodation on the basis of its duration constitutes an appropriate criterion of distinction, since one of the ways in which hotel accommodation specifically differs from the letting of dwelling accommodation is the duration of the stay, and the use to this end of the criterion of the provision of short-term accommodation, being defined as less than six months, appears to be a reasonable means by which to ensure that the transactions of taxable persons whose business is similar to the essential function performed by a hotel, namely the provision of temporary accommodation on a commercial basis, are subject to tax.
1 Citers

[ Bailii ]
 
Regina v Commissioners of Customs and Excise ex parte Littlewoods Home Shopping Group Limited Times, 03 March 1998; [1998] EWCA Civ 262
17 Feb 1998
CA

VAT
Charge to VAT on basis already withdrawn on suppliers to self financed retailer after cessation of trading was contrary to EC law
EC Directive 77/388/EEC
1 Cites

1 Citers

[ Bailii ]
 
Commissioners of Customs and Excise v British Telecommunications Plc Times, 24 March 1998; Gazette, 29 April 1998; [1998] EWCA Civ 480
18 Mar 1998
CA

VAT
The delivery of a quantity of cars is a separate supply from the purchases of the cars themselves and the VAT on the delivery charges is reclaimable as an input.
Value Added Tax (Input Tax) Order 1992 (1992 No 3222)
1 Cites

1 Citers

[ Bailii ]
 
Marks and Spencer Plc v Commissioners of Customs and Excise [1998] EWHC Admin 477
1 May 1998
Admn

VAT, European

[ Bailii ]
 
Commissioners of Customs and Excise v Invicta Poultry Limited and Fareway Trading Co Limited Times, 01 June 1998; [1998] EWCA Civ 775
6 May 1998
CA

Customs and Excise, VAT
A trader who received guidance from the commissioners on what rate of duty would apply was nevertheless liable for the extra duty, when that advice was wrong, and it could have been checked against the Official Journal of European Community.
[ Bailii ]
 
Lease Plan Luxembourg v Belgische Staat C-390/96; [1998] EUECJ C-390/96; [1998] ECR I-2553
7 May 1998
ECJ

European, VAT
ECJ Judgment - Sixth VAT Directive - Car-leasing services - Fixed establishment - Rules governing reimbursement of VAT to taxable persons not established in the territory of the State - Principle of non-discrimination
[ Bailii ]
 
Eastbourne Town Radio Cars Associatioi v Commissioners of Customs and Excise Times, 12 May 1998; Gazette, 10 June 1998; [1998] EWCA Civ 785
12 May 1998
CA

VAT
Whether an unincorporated association was liable to registration on subscriptions paid by members, was not merely a matter of its constitution, but of what in reality members received for their subscriptions. If those were services of a VATable nature, then the subscriptions were chargeable.
Value Added Tax Act 1994 Sch 1 para 13(2)
[ Bailii ]
 
Criminal proceedings against Goodwin and Unstead Times, 10 June 1998; Gazette, 09 September 1998; C-3/97; [1998] EUECJ C-3/97
28 May 1998
ECJ

VAT, European
ECJ (Judgment) VAT was payable on supplies of counterfeit drugs even though the income generated by the trade was unlawful. Fiscal neutrality prevented differentiation between lawful and unlawful supplies
The defendants had sold counterfeit perfumes and had had VAT charges imposed retrospectively. It was held proper to charge VAT on sales which were illegal. Fiscal neutrality was set aside only where the special characteristic of a product required it
Sixth Council Directive 77/388/EEC May 1977 2
[ Bailii ]
 
Commissioner of Customs and Excise v Pilgrims Language Courses Limited [1998] EWHC Admin 597
2 Jun 1998
Admn

VAT

1 Cites

1 Citers

[ Bailii ]
 
Rahman T/A Khayam Restaurant v Commissioner of Customs and Excise [1998] EWHC Admin 627; [1998] STC 826
11 Jun 1998
Admn
Woolf J
VAT
The court described the existing practice for a tribunal to look at a challenge to an assessment to VAT which was that the Tribunal should adopt a "two stage approach": " the practice is to consider these cases in two stages: (1) consideration whether the assessment was made according to the "best judgment of the Commissioners"; if not, the assessment fails, and stage (2) does not arise; (2) if the assessment survives stage (1), consideration whether the amount of the assessment should be reduced by reference to further evidence or further argument available to the Tribunal . . " Held: The two stage approach was dangerous: "There is a risk, however, that the emphasis of the debate before the Tribunal will be distorted. If I am right in my interpretation of Van Boeckel, it is only in a very exceptional case that an assessment will be upset because of a failure by the Commissioners to exercise best judgment. In the normal case the important issue will be the amount of the assessment. The danger of the two-stage approach is that it reverses the emphasis . . " and "This case illustrates the dangers of an over-rigid adherence to the two-stage approach. I do not wish to diminish in any way from the importance of guidance given by Woolf J to inspectors as to how to exercise their best judgment when making assessments. However, when the matter comes to the Tribunal, it will be rare that the assessment can justifiably be rejected altogether on the ground of a failure to follow that guidance. The principal concern of the Tribunal should be to ensure that the amount of the assessment is fair, taking into account not only the Commissioners' judgment but any other points that are raised before them by the appellant."
Value Added Tax Act 1994
1 Citers


 
Commissioners of Customs and Excise v Thorn Materials Supply Limited and Thorn Resources Limited Gazette, 15 July 1998; Times, 25 June 1998; [1998] UKHL 23; [1998] 3 All ER 342; [1998] 1 WLR 1106; [1998] STC 725
18 Jun 1998
HL

VAT
When goods were purchased for resale to another company within the same VAT group but the purchasing company left that group before delivery, the entire transaction became a vatable supply. If there is an advance payment of less than the whole price, a supply which would ordinarily be regarded as a single taxable transaction is treated as having taken place in two or more stages. The time of supply rules therefore provide for a partial supply, a supply taking place on one date and to some extent on another. Both supplies are of course of the same goods. There is not a supply of part of the goods, or an undivided share in the goods, on one date and the rest on another. The tax is not concerned to divide up the goods because it is levied not upon the goods themselves but upon their value.
Value Added Tax Act 1983
1 Citers

[ House of Lords ] - [ House of Lords ] - [ Bailii ]
 
Commission of the European Communities v French Republic (Supported by United Kingdom Intervener) Times, 02 July 1998; C-43/96; [1998] EUECJ C-43/96
18 Jun 1998
ECJ

VAT, European
(Judgment) It was open to member states to refuse to allow claim VAT input reclaims on articles purchased for transport which constituted the very tool of the trade of a taxpayer. Driving instructors may not reclaim VAT on their transport.
Council Directive 77/388/EEC - EC Treaty 169
[ Bailii ]
 
Mehmet Yilmaz Hilmi Murat v Commissioners of Customs and Excise [1998] EWHC Admin 655
22 Jun 1998
Admn

VAT

[ Bailii ]

 
 Commissioners of Customs and Excise v Anchor Foods Limited; Admn 26-Jun-1998 - [1999] V & DR 425; [1998] EWHC Admin 674
 
Commissioners of Customs and Excise v Cantor Fitzgerald International [1998] EWHC Admin 679
29 Jun 1998
Admn

VAT

1 Cites

1 Citers

[ Bailii ]

 
 Fischer v Finanzamt Donaueschingen; ECJ 2-Jul-1998 - Times, 02 July 1998; Gazette, 09 September 1998; C-283/95; Ecj/Cfi Bulletin 15/98, 16; [1998] EUECJ C-283/95
 
Commissioners of Customs and Excise v Sinclair Collis Limited Times, 29 July 1998; Gazette, 09 September 1998; [1998] EWHC Admin 727; [1998] STC 841
9 Jul 1998
Admn

VAT, Landlord and Tenant
A licence fee paid to a shopkeeper for the installation of a cigarette vending machine in the shop and to maintain and operate it was a licence to occupy land and so was an exempt supply.
1 Citers

[ Bailii ]
 
Commissioners of Customs and Excise v First National Bank of Chicago Times, 20 July 1998; C-172/96; [1998] EUECJ C-172/96
14 Jul 1998
ECJ

European, VAT
The Bank dealt in foreign exchange, not charging a commission, but relying on the profit it made over a period between the prices at which respectively it bought and sold the currency. The Bank contended that the foreign exchange transactions were subject to VAT as supplies effected for a consideration and that the value of the consideration was the full value of the currency received in exchange for that provided by the Bank. The European Court held that the supply of foreign currency being legal tender was not the supply of tangible property, but of a service. The supply of foreign currencies in the way described was the provision of a service for consideration being the difference between what it paid and what it received for the currency. The currencies received by the Bank were not the remuneration it received. That consisted in what the Bank could keep for itself, calculated as the net result of all transactions over a given period of time. Trading in foreign currencies where no charge was made, but the company relied upon the spread did constitute provision of taxable supplies. Amount of consideration was the total spread of transactions over a period of time
Europa Foreign exchange transactions, performed even without commission or direct fees, are supplies of services provided in return for consideration, that is to say supplies of services effected for consideration within the meaning of Article 2(1) of Sixth Directive 77/388 on the harmonisation of the laws of the Member States relating to turnover taxes. More particularly, transactions between parties for the purchase by one party of an agreed amount in one currency against the sale by it to the other party of an agreed amount in another currency, both such amounts being deliverable on the same value date, and in respect of which transactions the parties have agreed (whether orally, electronically or in writing) the currencies involved, the amounts of such currencies to be purchased and sold, which party will purchase which currency and the value date, constitute supplies of services effected for consideration within the meaning of Article 2(1) of the Sixth Directive. 2 Article 11A(1)(a) of Sixth Directive 77/388 on the harmonisation of the laws of the Member States relating to turnover taxes must be construed as meaning that, in foreign exchange transactions in which no fees or commission are calculated with regard to certain specific transactions, the taxable amount is the overall result of the transactions of the supplier of the services over a given period of time. Article 11A(1)(a) of the Sixth Directive provides that the taxable amount is, in respect of supplies of services, that which constitutes the consideration which has been or is to be obtained by the supplier from the purchaser for such supplies. Determining the consideration comes down to determining what the bank in question receives for foreign exchange transactions, that is to say the remuneration on foreign exchange transactions which it can actually take for itself.
Sixth Council Directive 77/388/EEC May 1977
1 Citers

[ Bailii ]

 
 Societe Generale Des Grandes Sources D'Eaux Minerales Francaises v Bundesant Fur Finanzen; ECJ 9-Sep-1998 - Gazette, 09 September 1998; C-361/96; Ecj/Cfi Bulletin 15/98, 7; [1998] EUECJ C-361/96
 
EC Commission v French Republic Gazette, 09 September 1998; C-43/96; Ecj/Cfi Bulletin 16/98, 27
9 Sep 1998
ECJ

VAT, European
It was open to a member state to disallow reclaim of VAT on a motor vehicle even though it was the very tool of the owners trade. State had right to retain regulations predating the Council Directive disallowing such allowances.
Sixth VAT Directive Art 17(6)

 
The Howden Court Hotel (Taxation) C-94/97; [1998] EUECJ C-94/97
22 Oct 1998
ECJ

European, VAT
ECJ VAT - Article 26 of the Sixth VAT Directive - Scheme for travel agents and tour operators - Hotel undertakings - Accommodation and travel package - Basis of calculation of the margin.
[ Bailii ]

 
 Commissioners of Customs and Excise v Madgett and Baldwin (trading as Howden Court Hotel); ECJ 22-Oct-1998 - C-308/96; [1998] STC 1189; [1998] EUECJ C-308/96
 
Customs and Excise Commissioners v Plantiford Unreported, 5 November 1998
5 Nov 1998

Laws J
VAT
The court was asked whether a sum for packing and postage which the purchaser agreed to pay had to be added to the price of the goods for the purpose of constituting the consideration for the supply of such goods by the plaintiff. Held: the moneys received by Plantiford, Ltd. were not received by it to hold on behalf of Parcelforce who were actually to deliver the goods. The sum of £2.50 (being postage of £1.63 plus packing of 0.87p) was received by Plantiford for itself, even though its expenses would include the sum of £1.63 for postage. It was therefore necessary to count it as part of the consideration received by Plantiford for the services it provided. It thus formed part of the turnover.
1 Citers


 
Commissioners of Her Majesty's Customs and Excise v Plantiflor Limited Times, 25 November 1998; [1998] EWHC Admin 1048
6 Nov 1998
Admn

VAT
Where a sum was paid to a party and an un-ascertained part expected to be paid to a third party (for post and carriage), that part was not subject to VAT in the recipient's hands but in the carrier's hands when charged by him.
[ Bailii ]
 
Villaswan Limited v Sheraton Caltrust (Blythswood) Limited and Sheraton Caltrust (Elgin) Limited and Starthawk Limited Times, 27 January 1999; [1998] ScotCS 61
9 Nov 1998
OHCS
Lord Penrose
VAT, Scotland
When one member of a group of companies paid the VAT due from that other company, the paying company was entitled to the Crown's preference when payment was recovered by way of relief from the other company.
[ Bailii ] - [ ScotC ]
 
Victoria Film A/S C-134/97; [1998] EUECJ C-134/97
12 Nov 1998
ECJ

European, VAT
ECJ Act of accession of the Kingdom of Sweden - Sixth VAT Directive - Transitional provisions - Exemptions - Services provided by authors, artists and performers - Lack of jurisdiction of the Court
[ Bailii ]
 
Institute of the Motor Industry v Commissioners of Customs and Excise [1998] STC 1219; [1999] 1 CMLR 326; C-149/97; [1998] EUECJ C-149/97; [1998] BTC 5484; [1999] BVC 21; [1998] ECR I-7053
12 Nov 1998
ECJ

European, VAT
ECJ VAT - Exemptions - Non-profit-making organisations with aims of a trade-union nature
[ Bailii ]
 
Institute of the Motor Industry v Customs and Excise Commissioners Times, 19 November 1998
19 Nov 1998
ECJ

VAT, European
A trade union could be any organisation of employees, workers, employers, independent professionals or traders which took upon itself representation of its members interests as against third parties, and any such is VAT exempt.
Sixth Council Directive 77/388/EEC Art 13(A)(1)(1)

 
Pegasus Birds Ltd v H M Customs and Excise [1998] EWHC Admin 1096; [1999] STC 95; [1999] 1 CL 496; [1999] BTC 5003
27 Nov 1998
Admn
Dyson J
VAT
The Excise Commissioners eventually issued an assessment to VAT in 1997 for 1993 after commencing their investigations in 1993. Held: Section 73 did not operate as a full bar to the Commissioners making an assessment after the one year where information was only later obtained. The time limit should run only from the date on which the last piece of evidence necessary for making the assessment came to the knowledge of the Commissioners. This was a matter for the 'best judgement' of the Commissioner. The Commissioner had not been unreasonable in delaying the assessment until the final piece of evidence allowing an assessment fell into place, and time ran from that time against him.
Value Added Tax Act 73(6)(b)
1 Cites

1 Citers


 
Brs Automotive Ltd v Commissioners of Customs and Excise Times, 04 December 1998
4 Dec 1998
CA

VAT
Input VAT was reclaimable against the purchase of motor vehicles. A change in regulations for hiring out afterwards was effective even though the scheme was artificially complicated since the hire was not to take place before date of change.
VAT (Input Tax) Order 1997 art 7

 
Hostgilt Limited v Megahart Limited [1999] STC 141; (1997) 77 P&CR D34; [1999] BTC 5057; [1999] BVC 78
4 Dec 1998

Miss Hazel Williamson QC
VAT
VAT operates with a system of inputs and outputs to bring down the burden of purchase tax. VAT is a tax on a retailer's turnover, which purchase tax was not. In a concluded contract the question of whether a sum includes VAT is a matter of construction of the agreement.
Miss Hazel Williamson QC said: "There is a policy described as "fiscal neutrality" along the line of supply. As long as a party is making taxable supplies it can set off the tax it pays on any input into its business against the tax which it charges on any output. It can either pay the difference to, or reclaim the difference from, Customs and Excise. The only person who eventually gets fixed without any potential set off is the end consumer who is not making taxable supplies. This can be a party not making supplies at all or a party making exempt supplies, or, complicatedly, partially exempt supplies, a situation which applies in the areas of financial services, banking and the insurance industries. To anyone making taxable supplies, the imposition of VAT is irrelevant; to anyone not doing so, it is an expense such that the taking of supplies under a VATable transaction creates additional cost and makes the supply consequently more expensive."
1 Citers

[ Bailii ]
 
Regina v Stanley Times, 08 December 1998
8 Dec 1998
CACD

VAT
A count on an indictment alleging VAT offences which included charges both of understating outputs and making false input claims was defective in not allowing a jury to say clearly of which offence the accused was guilty. "the Court of Appeal had given a wide meaning to the word "defective" in section 5(1) so as to render indictments capable of deciding the issue that properly should be determined between the Crown, on the one hand, and the defendant on the other".
Value Added Tax Act 1994 72(8) - Indictments Act 1915 5(1)
1 Citers



 
 Nell Gwynn House Maintenance Fund v Commissioners of Customs and Excise; HL 15-Dec-1998 - Times, 17 December 1998; [1998] UKHL 50; [1999] 1 All ER 385; [1999] 1 WLR 174; [1999] STC 79
 
Marks and Spencer Plc v Commissioners of Customs and Excise [1998] EWHC 1143 (Admin); [1999] STC 205; [1999] Eu LR 450; [1999] 1 CMLR 1152; [1999] BTC 5073; [1999] BVC 107
21 Dec 1998
Admn
Moses J
VAT, European

1 Citers

[ Bailii ]
 
Commissioners of Customs and Excise v Jubilee Hall Recreation Centre Ltd Times, 31 December 1998
31 Dec 1998
CA

VAT
A part of Covent Garden run by a charity and providing range of fee-paying service to members living locally was not akin to a village hall and the services were subject to VAT. The services are to be provided by and for 'final consumer,' the community.

 
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