Customs imposes VAT on IFA network membership

Correspondence between Whitechurch Network and HM Customs & Excise is still at an early stage, however, an interpretation of existing VAT rules by the agency appears to suggest "the Vatman" believes services companies and networks should be treated equally, and could therefore require all network members pay 17.5% VAT for any services the network delivers. Ian McIver, managing director at the Bristol-based network, says a ruling made by HMC&E - now in the hands of legal experts - seems to contradict existing interpretation of VAT rules. "Customs and Excise have argued they can loosely...