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VAT VICTORY FOR UK BINGO INDUSTRY
27/05/2008The UK bingo industry could be looking at a payout of its own following a court ruling, it has been revealed.
Rank Group - which operates Mecca Bingo clubs - recently launched a case arguing that value-added tax (VAT) is not applied consistently to all automated bingo machines in the UK.
Some are taxed, while others are not, with Rank Group claiming that it had therefore paid £36 million more VAT than should be required.
The VAT & Duties Tribunal agreed - meaning the organisation and other UK bingo operators could expect to reclaim any overpaid tax.
Rank Group was advised by consultancy Deloitte, which suggests that the onus is now on operators to decide whether to lodge a claim.
Head of indirect tax Tony McClenaghan says: "The same principles will apply to any taxpayer which has paid VAT on this type of bingo.
"It's a case of eyes down for other taxpayers to consider if they have claims to submit."
Rank Group explains that the claim relates to "interval bingo", the games played automatically between sessions of live bingo in land-based clubs.
However, the story may not yet be over as the Mecca Bingo operator notes that HM Revenue & Customs now has until July 10th to launch an appeal.
Written by Bob Bardsley.
This story was brought to you by onlinebingo.co.uk. UK online bingo starts here!
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