Following the decision in AXA (e-update Oct 2010), in which the ECJ ruled that processing payments through BACS was akin to a 'debt collection' rather than 'financial service', HMRC has released new guidance stating that all services concerned with collecting payments for the benefit of an entity to which those payments are owed, "regardless of whether those payments are received before, on, or after their due date" are akin to debt collection and liable to VAT at the standard rate. VAT must be accounted for on these services from 12 January 2011.