Following the Court of Justice of the EU’s (CJEU) decision to strike down an appeal by Cambridge University (who sought a ruling allowing them to claim back VAT on investment management fees), Bill offered his insights on the significance of the Court’s judgment for the charities sector.
Given that the outcome means charities are now faced with a larger tax burden Bill stressed that “the inability to reclaim VAT on management fees is a blow to the charity sector and especially the bigger endowments.” Bill also highlighted in his comments that “the concern now is that HMRC will say charities cannot recover VAT on fundraising costs, because there are very few that do nothing except carry out VAT taxable business activities.”
Keen to speak with Bill to get further thoughts from Bill on this subject? Please do get in touch with him using the contact details above. If you’d like to read the rest of Bill’s thoughts on this matter click here to access IPE’s piece.
This information is necessarily of a general nature and doesn’t constitute legal advice. This is not a substitute for formal legal advice, given in the context of full information under an engagement with Bates Wells.
All content on this page is correct as of July 31, 2019.