Concession is VATable

The taxpayer council permitted an ice-cream van business to leave its vehicle in a marked bay of a local car park and to trade from the site.

The council claimed the supply was exempt under VATA 1994 sch 9 group 1. HMRC disagreed saying there was no licence to occupy land meaning the exemption did not apply.

The taxpayer appealed.

The First-tier Tribunal said the catering concession was a means of allowing the supply and gave the van owner the right to sell ice creams.

The tribunal found that anyone could park in the marked space; the owner could ask a person to move but was more likely to park elsewhere. There was a defined area that could be used in return for payment but there was no guarantee that it would be available. The payment would still be required even though the owner had not...