Liability ― financial intermediaries and brokers

Produced by a Tolley Value Added Tax expert

Value Added Tax

Guidance

This guidance note covers the liability of the services of financial intermediaries and brokers.

For an overview of liability more broadly, see the VAT liability - overview guidance note.

For in-depth commentary on the legislation and case law on the liability of financial intermediaries and brokers, see De Voil Indirect Tax Service V4.136I.

Intermediary services ― the basics

The services of intermediaries who deal with financial services may be exempt from VAT but the strict conditions of exemption must be met. Where these conditions are not met, a financial intermediary’s supplies are typically standard-rated in the UK (although it is always prudent to consider whether any other VAT relief may apply).

The scope of the intermediary exemption is complex and is the subject of much of this guidance note. However, the essential elements are that:

•
the supply must be one of intermediary services
•
the supply must be in relation to certain financial services
•
the supplier must be acting in an intermediary capacity

In most (but not all) cases

Access this article and thousands of others like it
free for 7 days with a trial of Tolley+™ Guidance.

TAKE A FREE TRIAL

Popular Articles

Class 1 v Class 1A

Class 1 v Class 1AClass 1 and Class 1AClass 1 and Class 1A are the categories of NIC that can be charged on expenses reimbursed and benefits provided to employees. These classes are mutually exclusive. A benefit cannot be subject to both Class 1 and Class 1A NIC. Three requirements must be met

Owner-Managed Businesses

Tax implications of administration and liquidation

Tax implications of administration and liquidationThis guidance considers the tax implications of a company going into administration or liquidation.Introduction to company administration and liquidationCompany going into administrationA company which is in financial difficulty may go into

14 Jul 2020 15:29 | Produced by Tolley Read more

Corporation Tax

Qualifying charitable donations

Qualifying charitable donationsCompanies can obtain corporation tax relief for qualifying payments or certain transfers of assets to charity under the qualifying charitable donations regime. Definition of qualifying charitable donationThe definition of ‘qualifying charitable donations’

14 Jul 2020 13:03 | Produced by Tolley Read more

UU��ֱ��