The First Tier Tribunal has recently released some decisions which have potentially significant ramifications for councils charging for access to leisure facilities. Following the case of London Borough of Ealing, HMRC accepts that the sporting exemption can be applied to such charges, as is clarified in Revenue & Customs Brief 6 (2017). This meant that VAT did not have to be added to such charges but could impact on VAT recovery in relation to costs.
Source Constable
