United Kingdom Tax Tribunal Clarifies VAT Assessment for Supplies of Property Management Services

The United Kingdom First-Tier Tax Tribunal Feb. 12 issued a judgment in Case No. TC09428, on VAT assessment for supplies of property management services. The taxpayer, a property management service provider, appealed HMRC’s decisions regarding its VAT liability, the requirement that it register for VAT, and the requirement that it file a VAT return for the period in question. The taxpayer argued that its supplies of services should be zero-rated under ESC 3.18 as a domestic service charge. On the other hand, HMRC disputed the tax tribunal’s jurisdiction and argued that ESC 3.18 would call for a standard VAT rate. ...