The taxpayers sold cable services which were liable to VAT through 28 subsidiaries, and supplied by a third party as part of the same service a listings magazine. They sought exemption from VAT for that part of the consideration related to the magazine.
Held: There had in effect to be a novation to convert the one contract between Telewest and its customer to two contracts, the additional contract being the one for the supply of the magazine. The intention was to make the publication a separate supply by a different company. This was lawful at common law, and the appeal succeeded.
Judges:
Lord Justice Kennedy Lady Justice Arden Sir Christopher Staughton
Citations:
[2005] EWCA Civ 102, [2005] STC 481
Links:
Jurisdiction:
England and Wales
Citing:
Cited – Homburg Houtimport BV v Agrosin Private Ltd (the ‘Starsin’) HL 13-Mar-2003
Cargo owners sought damages for their cargo which had been damaged aboard the ship. The contract had been endorsed with additional terms. That variation may have changed the contract from a charterer’s to a shipowner’s bill.
Held: The specific . .
Cited – Hart v Alexander 1837
The test for novation is whether there has been an acceptance which can be inferred from the acts and conduct of the customer. . .
Cited – Staatssecretaris van Financien v Heerma ECJ 27-Jan-2000
Sixth VAT Directive – Transactions between a partner and a partnership . .
Cited – Tolhurst v Associated Portland Cement Manufacturers (1900) Ltd HL 1903
Tolhurst had contracted to sell a quantity of chalk from his quarries to the Imperial Company for fifty years. The Imperial Company afterwards assigned the Contract and sold its land, works and business to the Associated Company, and went into . .
Appeal from – Telewest Communications Plc v The Commissioners of Customs and Excise ChD 19-Dec-2003
. .
Cited by:
Cited – Revenue and Customs v Debenhams Retail Plc CA 18-Jul-2005
The store introduced a system whereby when a customer paid by credit card, the charges made to them for card handling were expressed as a separate amount on the receipt. The store then said that VAT was payable only on the net amount allocated to . .
Cited – Revenue and Customs v Debenhams Retail Plc CA 18-Jul-2005
The store introduced a system whereby when a customer paid by credit card, the charges made to them for card handling were expressed as a separate amount on the receipt. The store then said that VAT was payable only on the net amount allocated to . .
Lists of cited by and citing cases may be incomplete.
VAT
Updated: 29 June 2022; Ref: scu.222960