HL Deb 21 July 1987 vol 488 cc1379-80WA
Lord Bruce of Donington

asked Her Majesty's Government:

Whether, in respect of the items comprised in "Group 8" at page 12 of the EEC Official Journal C359 of 31st December 1985 which gives a summary of Case 416/85 brought by the European Commission against the United Kingdom, they will state the annual amount of VAT at 15 per cent. which might become leviable by the Treasury in the event of judgment being given in favour of the Commission.

Lord Young of Graffham

The amount of extra VAT revenue would depend on the new liability of the items to which the noble Lord refers. This would need to be determined in the light of the judgment of the European Court of Justice; the Commission's case on the zero-rated supplies in question, which Her Majesty's Government vigorously contests, is too vaguely formulated to permit the construction of assumptions reliable enough for estimating purposes.