FlyerTalk Forums - View Single Post - UK VAT lowered

Dec 3, 2008 | 8:25 am

#6

NYKurt

Join Date: Jan 2008

Location: London

Programs: IC RA Plat, BA Silver, Hilton Gold, SPG Gold

Posts: 27

Quote:

Originally Posted by Flying Lawyer

I strongly disagree. Swajames' concept is the US concept of a sales tax.

VAT as it is common in Europe is not a sales tax (which becomes due when the room is sold = prepaid) but only becomes due when a certain service (the room) is rendered.

The deposit is nothing but a desposit and it is applied to moment the service is rendered. If VAT is lower that moment, you should get a refund.

I agree with Flying Lawyer. VAT becomes taxable when a certain service is rendered. I guess Hilton will refund the difference of VAT when checking out.

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