VAT

...until morale improves: the VAT default surcharge regime could be too harsh

A business manufactures and sells a washing product. It also sponsors a university which carries out research into skin-related issues and the effect of certain chemicals

CRC v Sunico ApS and others (C-49/12), Court of Justice of the EU

Dixons Retail plc v CRC (C-494/12), Court of Justice of the EU

AN Checker Heating & Service Engineers (TC2865)

The importance of dealing with VAT issues before a deal is agreed between multiple parties

A music teacher has a business turnover of £60,000 a year. He has a studio equipped with musical instruments that he hires out. If his turnover exceeds the VAT registration limit, to what extent might his fees be exempt from VAT?

HMRC have announced new fuel rates for company cars (below), to be applied to all journeys on or after 1 December 2013 until further notice.

Employers may use either the previous or new figures for one month from the date of change, and can make or require supplementary payments but are under no obligation to do either. Petrol hybrid cars are treated as petrol for this purpose.

The amounts can be used for VAT, but employers will need to retain receipts, the Revenue warned.

W Lane t/a Spot On! (TC2909)

Income from gaming machines became exempt from VAT from 1 February 2013. Should a machine purchased on 10 January 2013 have been treated as partially exempt, and what are the VAT implications on sale?

Loughborough Students Union v CRC, Upper Tribunal (Tax and Chancery Chamber)

Rapid Sequence Ltd (TC2826)