Taxation logo taxation mission text

Since 1927 the leading authority on tax law, practice and administration

VAT tribunal decisions

25 August 2000
Categories: Tax cases
Taxi driver service; Not charitable enough; A life on the ocean wave

Taxi driver service

Rushmoor Radio Taxis Ltd carried on in business as an association of taxi drivers. It appealed against an assessment in respect of under-declared VAT notified in October 2000 and also against a belated notification penalty in respect of non-registration notified in January 2001.

Rushmoor said that it provided two services to its members; firstly a communication link between a person wishing to take a taxi and the taxi driver which it subsequently agreed created a supply. Drivers paid 'radio money' on a weekly basis for this service.

Secondly in return for members paying a weekly sum Rushmoor provided credit through the drivers' accounts. This was likened to providing a current or deposit savings account by Rushmoor and therefore exempt for VAT. Customs argued that the credit facility was a contribution to office administration costs and should be standard rated.

Three issues...

If you or your firm subscribes to, please click the login box below:

If you are not a subscriber but are a registered user or have a free trial, please enter your details in the following boxes:

Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this item in full.

Please reach out to customer services at +44 (0) 330 161 1234 or '' for further assistance.

back to top icon