The facts of the case are very straight-forward. When a child goes ice skating at a rink and pays an extra fee to hire a pair of skates, in addition to the admission fee, does this involve two separate supplies? The taxpayer claimed this was two supplies, with the hire of skates for children being zero-rated (VATA 1994, Sch 8, Group 16, Item 1). The admission charge is standard rated.
Taxpayer win in 2017
The initial decision made by the FTT (TC06117) went in favour of the taxpayer. The tribunal rejected HMRC’s argument that children were receiving a single standard rated supply of “skates with admission.”
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