VML contended that the 12 month “saver” option was a “discount for prompt payment” and that paragraph 4(1) applied to deem the monthly customers to have given consideration for the FLR supply to them by reference to a notional monthly figure of £10 (i.e. £120/12), not the actual monthly payment of £13.90. The FTT dismissed VML’s appeal, holding that VML’s services to monthly customers were not “supplied on terms allowing a discount for prompt payment”, because the supply to monthly customers and the supply to saver customers were different supplies on different terms. The Upper Tribunal dismissed VML’s appeal, for the reasons given by the FTT.
Source: monckton.com
