VAT News

UK-Spring statement

UK chancellor of the exchequer, Philip Hammond, yesterday delivered his spring statement, and contained within it was details of 3 consultations to be undertaken concerning UK VAT.

The first of these will look at the impact of the application of the standard rate of VAT upon 'tourism' supplies in Northern Ireland (i.e. hotel rooms, restaurant meals). This has been an issue which has been around for some time, particularly as the reduced rate of VAT is applied to many similar services in Ireland.

A consultation has also been launched regarding a potential split payment system which could apply to online sales, in order to ensure that VAT paid is received by HMRC. Under such plans, the payment provider could possibly be required to withhold the VAT element of the payment and pay this directly to HMRC.

Finally, a consultation will be undertaken regarding the UK VAT threshold, and the impact of potentially changing this.

Related articles

HMRC Opens Investigation into Uber Over £1bn Unpaid VAT

HMRC is looking to whether Uber should be classified as a transportation company, and therefore liable to pay VAT in the UK.

Read more
UAE Averaging 8,000 VAT Refunds Every Day

500 days since it's introduction, VAT refunds in the UAE are soaring.

Read more
UK MP Calls for Scrapping VAT Applied to Sunscreen

UK MP Chris Bryant calls for scrapping the 20% VAT rate applied to sunscreen products, encouraging more people to regularly use it.

Read more