Dixons ECJ case to recover VAT on fraudulent credit card transactions could trigger claims across EU
14 November 2012
Salman Shaheen - ITR
Dixons is leading a case along with 16 UK high street chain stores to recover VAT paid on fraudulent credit card transactions. If it wins, the precedent set could lead to a string of claims across Europe.
Dixons argues it should not have
to pay VAT on goods bought through fraudulent credit card
transactions. The electrical store is claiming £2 million
($3 million) in overpaid VAT, but with 15 other claimants
rallying behind it, Amanda Brown, KPMG advocate for the case,
believes tens of millions are at stake.
The case, which was referred to
the European Court of Justice (ECJ) from the First Tier
Tribunal, primarily affects white goods retailers like Dixons
because fraudsters want high-value items to steal and then sell
on. Supermarket chains are less affected.
This article is locked content, available to current subscribers or trialists.
- Current subscribers or trialists - Please log in to view this article in full.
- New users - Please take a free 7 day trial.
- Expired subscribers or trialists - Please subscribe to gain immediate full access.
If you think you've received this message in error, please contact your account manager, Nick Burroughs:
Email: email@example.com, Tel: +44 (0)207 779 8379
Subscribe today to gain full access to International Tax Review.
Take a free trial now and gain 7 days of full access to International Tax Review.