Revenue Precedents

What is the rate of VAT applicable to duty-free supplies of fuel to be used in aircraft engaged in training flights in Shannon duty-free airport? The zero rate of VAT may be applied to fuel supplied for aircraft engaged in training. A/204

VAT Treatment of the sale to a third party bank of the right to receive money due in respect of rentals on a leasing agreement. The sale of the right to receive future rentals is an exempt supply, the taxable event only coming into play on payment of the lease payments but in the circumstances of the case due to the time factor before such payments would be made and the fact that the taxable transactions take place within a VAT group Revenue agreed that the consideration received in respect of the sale of the right to be an advance payment of lease rentals and liable to VAT. A/421

Accounting for VAT on new leases of large-scale capital equipment. On application on a case-by-case basis, VAT on new leases of large-scale capital equipment may be accounted for by the lessor at the commencement of the lease and the lessee may be invoiced for the VAT in one lump sum. The lessee may take full input credit at this time. This concession is subject to the condition that tax will be accounted for on the "invoice" basis. A/73 (b)