- JPMorgan Chase Bank NA v HMRC case found that support and business services supplies were one single supply not exempt from VAT.
- The intra-group supply exemption was disapplied due to elements coming from overseas.
- CBNA supplied support services and business delivery services to SPLC.
- The services were dealt with under a master services agreement and billed in a lump sum.
- CBNA provided all of these services to group affiliates.
- SPLC would not have been able to decline any of the services.
- CBNA bought overseas services in order to make supplies to SPLC.
- HMRC argued that this disapplied the intra-group exemption.
- CBNA accepted that the support services were subject to VAT.
- The FTT found that all elements of the supply were closely linked and not available separately.
- The FTT decided that there was one single supply of services that was not exempt as a supply of financial services.
Source: rossmartin.co.uk
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
