Tax victory for plants.

Tax advisers at Ernst & Young have helped secure an important VAT victory in the Court of Appeal for mail order supplier of bulbs and plants Plantiflor. The case will have a substantial effect on mail order delivery costs, the firm said. Peter Jenkins, head of E&Y’s indirect tax practice, said: ‘Following this win, and as long as they structure their agreements correctly, mail order companies that use the Post Office will be able to allow the exact postal element of postage and packing charges paid by the customer, to be treated as VAT exempt rather than taxable.’

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