- Sonder Europe Limited leased apartments to provide short-term accommodation to travelers
- The issue was whether these supplies are covered by the Tour Operators’ Margin Scheme (TOMS)
- Initially, output tax was due via TOMS, but HMRC appealed
- The Upper Tribunal decided that TOMS did not apply in this case
- The services received by Sonder were not for the direct benefit of travelers
- The decision highlights the complexities of TOMS and the impact of getting the rules wrong
Source: marcusward.co
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
