Holding company was making supplies of services to its subsidiaries for consideration and doing so in the course of an economic activity

The Upper Tribunal (UT) has released its decision in this case concerning an appeal against assessments raised by HMRC denying VAT recovery by Tower Resources Plc (Tower) on the grounds that it did not make taxable supplies for consideration, alternatively, if Tower was making taxable supplies it was not doing so in the course of an economic activity.

Source: ey.com