Business body welcomes VAT ruling

The Forum of Private Businesses has welcomed an ECJ judgment forcing Dollond
& Aitchison to pay VAT on contact lens packages.

The pressure group is campaigning for big businesses to stop avoiding VAT by
using a Channel Islands loophole.

The opticians had been excluding eye test costs from their contact lens
packages in order to keep the value of goods below an £18 limit above which VAT
would be payable.

The European Court of Justice ruled that it could not do so, in a move that
the FPB said means ‘the noose is tightening’ on businesses who seek to exploit
the VAT rules.

Related reading