§ Mr. Spearing
asked the Chancellor of the Exchequer if there is any EEC regulation that requires national legislation by the United Kingdom to impose value added tax charge on entry fees by amateur competitors in sports events organised by value added tax registered sports bodies.614W
§ Mr. Peter Rees
[pursuant to his reply. 31 October 1980, c. 370]: There is no such EEC regulation about VAT and competition entry fees.
§ Mr. Adley
asked the Chancellor of the Exchequer if, pursuant to his answer to the hon. Member for Christchurch and Lymington of 31 July Official Report, c. 812, he will define the expression "specified international services" used in his answer; if he will indicate if this includes hotel accommodation; and, if so, in which countries.
§ Mr. Peter Rees
[pursuant to his reply, 3 November 1980]: The expression "specified international services" in my answer of 31 July means services so specified in the relevant national legislation of the various member States of the European Community in accordance with article 9.2(e) of the European Community sixth directive on VAT. This article requires that when services listed therein are performed for customers established outside the Community or for taxable persons within other member States, the place of supply for VAT purposes shall be the place where the customer belongs. Consequently such services should normally be relieved of tax in the country where the provider of the service is established.
Following are the services listed in article 9.2(e). They do not include the provision of hotel accommodation.
- —transfers and assignments of copyrights, patents, licences, trade marks and similar rights;
- —advertising services;
- —services of consultants, engineers, consultancy bureaux, lawyers, accountants and other similar services, as well as data processing and the supplying of information;
- —obligations to refrain from pursuing or exercising, in whole or in part, a business activity or a right referred to in this list;
- —banking, financial and insurance transactions including reinsurance, with the exception of the hire of safes;
- —the supply of staff;
- —the service of agents who act in the name and for the account of another, when they procure for their principal the services referred to in this list.