Pension funds body urges VAT challenge
National Association of Pensions Funds seeks support for a legal bid to make HMRC respond to an EU VAT ruling
National Association of Pensions Funds seeks support for a legal bid to make HMRC respond to an EU VAT ruling
The National Association of Pension Funds (NAPF) has urged its members to put
pressure on the taxman in a bid to force a VAT overhaul.
After a key ruling was handed down by the European Court of Justice affording
investment managers VAT relief on pension scheme services, the NAPF is pushing
for pension funds to jointly finance a legal challenge so that the same benefits
apply in the other direction.
NAPF chief executive Joanne Segars, said: ‘After the clarification from the
ECJ, there is a strong case that pension funds should not have to pay VAT on
investment management services. Instead, they would be able to use these savings
to benefit their members.’
The NAPF’s move has been made in response to the ECJ’s judgment on the
JPMorgan
Claverhouse case, which found that VAT exemption should extend to investment
management services provided to occupational pension schemes.
The NAPF added: ‘Litigation is never without risk and it would be expensive
for any one pension fund to finance a legal challenge on its own. But if a
number of funds agree to share the costs, they could get their money back
several times over. Ultimately, it is for pension funds to decide whether they
want to challenge HMRC. If we get enough interest from our members, we will
co-ordinate a case.’
Further reading:
Investors lay
down law on liability caps
The numbers you crunch tell a story. Your expertis...
16yEmbracing user-friendly AP systems can turn the tide, streamlining workflows, enhancing compliance, and opening doors to early payment discounts. Read...
View articleOrganisations can enhance their financial operations' efficiency, accuracy, and responsiveness by adopting platforms that offer them self-service cust...
View articleIn a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...
View resourceDiscover how AP dashboards can transform your business by enhancing efficiency and accuracy in tracking key metrics, as revealed by the latest insight...
View articleThe amount of tax saved by businesses through HMRC’s Patent Box scheme has increased by 23% over the last five years, from £1.14 billion in 2017/18 to...
View articleUK Chancellor Jeremy Hunt has hinted at the possibility of further tax cuts in the upcoming spring Budget, during his time at the World Economic Forum...
View articleThe legislation, which introduces a global minimum tax of at least 15% for multinational enterprises, aims to limit tax competition and ensure large c...
View articleThe upcoming tax changes in 2024 will significantly impact businesses and individuals in the UK. Accountants play a crucial role in helping clients na...
View articleAccountants must stay vigilant, adapt their tax strategies to evolving regulations, prioritize transparency, and foster collaboration with tax authori...
View articleAs the government prepares for re-election, PM Sunak promises to control spending in order to bring forth tax cuts next year Read More...
View articleThe Office for National Statistics revealed that the UK economy shrank by 0.3% in March after the economy grew by 0.1% in the previous three months Re...
View articleAs the Spring Budget approaches, dissenters of the UK government’s increasingly complex contractor legislation are baying for change. HMRC has already...
View article