UK Supreme Court upholds right of third parties to recover VAT for loyalty schemes

March 13 2013

The UK Supreme Court has today dismissed an appeal by HM Revenue & Customs (HMRC) in a case against Aimia Coalition Loyalty, formerly known as Loyalty Management UK (LMUK), upholding the right of third parties to recover VAT in loyalty scheme arrangements. The ruling reinforces the neutrality principle of VAT on businesses.

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