VAT-exemption boost for colleges

Acting for Hertfordshire International College of Business and Technology PKF
argued that, under Article 13 of the EC sixth directive, international students
who took special first-year courses at colleges associated with the university
from which they would ultimately graduate should be exempt from paying VAT.

The victory is expected to benefit thousands of foreign students, who often
require special assistance to guide them through their first year of study. The
ruling means universities can outsource additional courses for foreign students.
This will bring learners in line with UK standards without burdening them with
additional VAT charges.

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