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Comments on ECJ C-607/20: Rewarding VAT win for employers offering voucher incentives

In what may be the final UK originating VAT case to be decided in the European courts, the Court of Justice of the European Union (CJEU) has decided that an employee reward scheme that awards vouchers to staff as recognition for good work has a business purpose. This meant that the employer could recover VAT on the cost of purchasing the vouchers without having to pay it back to HMRC when the vouchers were given away to employees.

Source RSM

See also ECJ C-607/20 (GE Aircraft Engine Services) – Judgment – Issue of retail vouchers to employees

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