Light at the end of the tunnel re VAT and EV charging

[5teep]

This article about HMRC losing a case against Charge My Street Limited (CMS)

https://www.accountingweb.co.uk/tax/hmrc-policy/vat-rate-shock-for-hmrc-in-ev-charging-point-case?cm-uuid=[uuid,fallback=]

 

[Bam Bam]

This article about HMRC losing a case against Charge My Street Limited (CMS)

https://www.accountingweb.co.uk/tax/hmrc-policy/vat-rate-shock-for-hmrc-in-ev-charging-point-case?cm-uuid=[uuid,fallback=]

Who knew that it would be HMRC legal incompetence that would lead to this?

Usually their legal incompetence that means that rich people get away without paying their taxes.

 

[Everest]

Whilst this all sounds potentially good for any of us who need to use public chargers, I note that the argument says..

"The crux of the dispute was as to the interpretation of VATA 94 Sch 7A Group 1, which allows a supply of fuel/power to be reduced rate if made for a “qualifying use”. Note 3 states that qualifying use includes domestic use, which note 5(g) confirms includes a supply of electricity “to a person at any premises… not provided at a rate exceeding 1000 kilowatt hours a month”."

What seems to not be mentioned is how CMS Ltd. determine that the use of their chargers is wholly "domestic". Surely business users, especially, gig-economy workers, self-employed and small businesses will surely use the charging facilities too? At our local Fastned charging station there are regularly business vans using the facilities during the working week.