On 20 January 2015, the Upper Tribunal dismissed HMRC’s appeal against the First-tier Tribunal decision that fees charged to concert-goers paying by credit/debit card by the National Exhibition Centre were correctly classified as consideration for “card processing services”.

HMRC had argued that such fees were paid in return for booking/delivery services. Having resolved the issue as to what the fees were paid in consideration for, the Tribunal referred to the ECJ the question as to whether the “card processing” services are exempt from VAT under item 1 of Group 5 of Schedule 9 to the Value Added Tax Act 1994.

The decision can be viewed here