- Sonder Europe Limited leased apartments for short-term accommodation
- First-tier Tribunal (FTT) ruled Sonder’s services were subject to VAT under TOMS
- Upper Tribunal upheld HMRC’s appeal, stating TOMS did not apply
- TOMS requires supply acquired by travel agent to be for direct benefit of traveler
- FTT decision based on Sonder not altering or processing apartments
- Upper Tribunal found FTT in error, services not for direct benefit of travelers
- UT considered services supplied by Sonder were materially altered from those supplied by landlords
- Sonder’s services were not onward supplies, but ‘in-house’ services outside TOMS
Source: taxscape.deloitte.com
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.
Latest Posts in "United Kingdom"
- FTT Rules HMRC Closure Notice Bars VAT Registration: Hairdresser’s Turnover Below Threshold, Appeal Allowed
- UK Tribunal Rules Self-Employed Hairdresser Not Liable for VAT Registration Under Rent-a-Chair Model
- EU Insists on VAT Representative for UK Firms Despite British Objections to Import Rules
- Mandatory B2B e-invoicing as of April 2029
- Policy paper – Plastic Packaging Tax: mass balance approach and removal of pre-consumer plastic
