Further education colleges — VAT
The First-tier Tribunal has decided that certain students of further education colleges are treated as receiving their tuition ‘free of charge’, and thus not giving rise to a business activity. The point is important, since it could mean that the scale of business activities of such colleges is sufficiently low that new buildings can be constructed on a VAT-free basis (although this depends upon the detailed mix of the colleges’ activities).
Wakefield College (TC03108) argued that students who made only part payment towards their fees, owing to means testing, should not be regarded as purchasing the services in the course of what is called an ‘economic activity’. This is based directly on a previous European court decision in the case of Finland (C-246/08) in which the Court of Justice of the European Union (CJEU) decided that such payments were not consideration for supplies on the basis that they made such a small contribution to the cost, and were geared to ability to pay rather than to what was actually consumed…
If you are registered and logged in to the site, click on the link below to read the rest of the Withers briefing. If not, please register or sign in with your details below.
Sign in or Register to continue reading this article
It's quick, easy and free!
It takes just 5 minutes to register. Answer a few simple questions and once completed you’ll have instant access.Register now
Why register to The Lawyer
In-depth, expert analysis into the stories behind the headlines from our leading team of journalists.
Identify the major players and business opportunities within a particular region through our series of free, special reports.
Receive your pick of The Lawyer's daily and weekly email newsletters, tailored by practice area, region and job function.
More relevant to you
To continue providing the best analysis, insight and news across the legal market we are collecting some information about who you are, what you do and where you work to improve The Lawyer and make it more relevant to you.
News from Withers
News from The Lawyer
Briefings from Withers
22 April 2014 marked ‘the largest reform of the family justice system any of us have seen or will see in our professional lifetimes’, according to the president of the Family Division.
Withers’ Graham Elliott discusses the points he found most interesting from this year’s Charity Tax Group annual meeting.
Analysis from The Lawyer
A merged Withers and Speechly Bircham would have scaled The Lawyer’s UK 200 with a turnover of about £170m, and created one of the world’s largest specialist private client teams. So what went wrong?