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HMRC (UK Tax Authority) Persuing Uber for £386M (~$487M) Vat

54 pointsby gchadwickalmost 2 years ago

10 comments

wooptooalmost 2 years ago
Guys, I think we have finally found the NHS money. [1]<p>[1] <a href="https:&#x2F;&#x2F;www.lbc.co.uk&#x2F;news&#x2F;350m-brexit-bus-nhs-social-care-pledge&#x2F;" rel="nofollow noreferrer">https:&#x2F;&#x2F;www.lbc.co.uk&#x2F;news&#x2F;350m-brexit-bus-nhs-social-care-p...</a>
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tonyedgecombealmost 2 years ago
It&#x27;s interesting that HRMC didn&#x27;t start this action. They were forced to by a independent nonprofit.
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sparklingalmost 2 years ago
From the Thread:<p>&gt;Until last year, Uber said this meant it didn&#x27;t have to charge VAT. It was just the agent for its drivers. So - the argument went - don&#x27;t look at Uber&#x27;s £2.5bn of revenue... look at each driver&#x27;s own small revenue. Too low for VAT.<p>Doesn&#x27;t this come down to what entity actually issued the invoice? When a UK customer gets the invoice for a ride, is it issued by Uber or by the individual driver&#x2F;transport company?<p>Not sure about the UK, but in most jurisdictions they operate the invoice is coming from the driver&#x2F;transport company, not Uber. My understanding is that any fees or comission that Uber collects are handled in the background between Uber and the driver&#x2F;transport company.
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tmikaeldalmost 2 years ago
That&#x27;s equivalent to their entire Q3 2023 net income, sounds like it&#x27;s going to hurt at least a little bit.
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thedrbrianalmost 2 years ago
wonder how many other businesses could be profitable if they just stopped paying their tax bills.....
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cjrpalmost 2 years ago
I wonder if Uber were trying to pay VAT only on their portion of the fares, rather than the total amount or something.
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gumballindiealmost 2 years ago
Uber will be fine. The HMRC is pretty disfunctional, and usually chases contractors and their IR35 status. Easier to intimidate actual honest, hard working people, than a large corpo. A pathetic institution.
petesergeantalmost 2 years ago
Actually they’re required to pay it in order to dispute it, so it’s more like “Uber trying to get a £386M VAT refund from HMRC”
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emmetalmost 2 years ago
I was convinced this was going to be like the Irish government refusing 13bn USD from Apple, but no, they&#x27;re actually going to have to pay it. Incredible.
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ChrisArchitectalmost 2 years ago
What is the source of these screenshots with no alt text?<p>Can we just get a link to the Uber post?
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