- UK Funerals On-Line Ltd (UKFO) provides repatriation services for deceased persons from the UK to other countries.
- The company argues that its services are zero-rated international transport, as they only transport the body and have no involvement in the funeral arrangements.
- HMRC argues that the services are exempt under item 2 of Group 8 of Schedule 9 to VATA 1994, which exempts “The making of arrangements for or in connection with the disposal of the remains of the dead.”
- The First-tier Tribunal (FTT) found that UKFO’s services lead directly to the disposal of remains and are connected with arrangements for disposal, falling within the exemption.
- However, the FTT also found that the predominant element of UKFO’s supplies is transport, which would be zero-rated.
Source KPMG
Latest Posts in "United Kingdom"
- HMRC Technical Manuals: Guidance for Staff and Tax Professionals with Legal and Interpretative Updates
- UK Reverses Skandia VAT Grouping Rules: Overseas Branches No Longer Separate Taxable Persons
- Key Steps and Common Errors in Postponed VAT Accounting for UK Importers
- Tribunal Upholds Strict Evidence Requirement for Input VAT Recovery in Dreyer Case
- Express Brands Ltd: Tribunal Rules Company as Principal, Liable for Full VAT on Retail Sales
