Sometimes it is the most basic and fundamental questions that are the hardest to answer when it comes to VAT, such as who the customer in a transaction is and what exactly is the service being provided. Normally it doesn’t tend to make too much difference – because if a shop sells something to Jack or Jill – VAT applies in both cases. However, occasionally the Courts are called on to analyse who the customer is and exactly is being sold. The answer can make a big difference.
Source: way2vat.com
