Also in the news...
The UK has introduced a points-based immigration system.
Find out what you need to do to prepare for making declarations on the Customs Declaration Service.
If you’re setting up a new online business, having a user-friendly website and sound SEO strategy that’s tailored to your target market is important. And if you’re targeting British consumers, there are a few SEO boxes you can tick to ensure you rank well on UK-based searches and drive the right traffic back to your website.
Find out whether you're established in the UK for customs purposes.
What UK goods vehicle operators need to do to carry out international road haulage.
Ireland: Update To VAT Treatment Of Portfolio Management
Our expert outlines an update to Ireland’s VAT manual regarding the VAT treatment of portfolio management services following a review by Irish Tax and Customs (“Revenue”).
Due to the decision of the CJEU in Deutsche Bank AG (Case C-44/11), portfolio management activity consisting of:
(i) analysing and monitoring the assets of client investors and
(ii) actually purchasing and selling securities
will be considered as single supply rather than several separate supplies and will be subject to VAT.
Prior to the decision of the CJEU it was accepted practice by the Revenue that each activity could be treated separately for VAT purposes provided there was a legal management services agreement in place and that:
(i) the separate elements were clearly identifiable in the services agreement;
(ii) the basis for apportionment of the fee was realistic, and
(iii) the activities in question were actually undertaken.
This treatment can no longer apply. We understand that the authority will not review past VAT periods and will not apply the rule retrospectively.
Portfolio managers should review their practice and only the fees which are charged strictly for the purchase or sale of shares or securities should be treated as exempt supply.