Green fees dispute rolls on

The taxpayer was a non-profit-making golf club which for many years accounted for VAT on green fees paid by visiting non-members in line with the tribunal decision in Keswick Golf Club (and related appeals) (15493).

In 2009 however the club submitted a repayment claim on the basis the fees were exempt under article 132(1)(m) of the EC VAT Directive.

HMRC refused the claim saying the fees were liable at the standard rate.

The First-tier Tribunal found in favour of the taxpayer holding held that excluding supplies to non-members from the scope of the exemption in VATA 1994 Sch 9 group 10 item 3 contravened article 133 of the directive.

The Revenue appealed on the ground the tribunal erred in law. The issues were whether UK law correctly implemented article 132(1)(m) which depended on the interpretation of article 133(d) and article 134(b).

The...