Legislation of a concession in VAT Grouping - ESC 3.2.2 - CIOT comments
The CIOT comments, sent to HMRC on 26 July 2011, regarding an informal consultation concerning proposals to replace an existing ESC with appropriate legislation.
This document and all related materials are available here in Adobe (pdf) format.
The consultation
The consultation paper says that the legislation will affect:
- Partly exempt VAT groups that buy in services via group members with overseas premises.
It is perhaps worth nothing that concession is only needed because the UK treats the FCE Bank principle as applying to transactions between branches with VAT groups. The Commission has a different view to that of the UK. Although not strictly necessary to respond to the consultation which deals only with the UK legislation, we attach copies of documents/links to previous work done on this particular issue in relation to VAT groups.
Related material
Technical Team
28 July 2011
