(October 14, 2014)

On October 13, 2014 the British HM Revenue and Customs (HMRC) published Revenue and Customs Brief 37 (2014): VAT grouping rules. This Revenue and Customs Brief outlines HMRC's position following the European Court of Justice judgment in Skandia America Corp. (USA), filial Sverige (C-7/13).

The Skandia America Corp. (USA), filial Sverige (C-7/13)  case concerned the interaction of VAT grouping rules on transactions between establishments of a business established both outside and inside Sweden. The ECJ found that the effect of the Swedish rules was that there was a taxable supply for VAT purposes. In the Revenue and Customs Brief the HMRC states that it is considering whether the judgment has any application to UK grouping provisions, which according to the HMRC are different to those in Sweden.

For further information click here to be forwarded to Revenue and Customs Brief 37 (2014) as published on the website of the HMRC, which will open in a new window.

If you’re interested in the ruling the European Court of Justice made in the Skandia America Corp. (USA), filial Sverige case click here to be forwarded to the ruling as published on the website of the European Court of Justice, which will open in a new window.

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