Do Deliveroo and UberEats pay VAT?

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Uber is currently being sued by Jolyon Maugham, who claims that Uber must pay VAT. Uber currently do not pay VAT due to having a subsidary in the Netherlands and taking advantage of the EU Reverse Charge. Deliveroo are VAT Registered (their VAT number is on their site).

Deliveroo's revenue comes in two forms : Comission of the basket from the order, and a delivery fee. Now based on the fact that they are essentially "providing" two services - 1 a customer platform for consumers to order and 2 an intemediary service for self employed drivers to find business. 

I'm thinking that possibly the first is classed as a restaurant and catering service, which if I'm correct the EU Reverse Charge does not apply. However, the second, does apply to the reverse charge just as Uber's "booking fee" (as opposed to Deliveroo's "delivery fee") does, and therefore Deliveroo only pays VAT on the comission of the goods they sell for the restaurant.

If so, why do Deliveroo and UberEats not pay VAT? Or do they? 

 

 

 

 

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By Manchester_man
15th Feb 2019 23:27

No idea. I have enough to do keeping my clients in line, never mind other people's clients!

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By glassgoggles
16th Feb 2019 13:17

I'm not anyone's client. Just interested.

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