Aviation: VAT Exemptions

(asked on 8th April 2016) - View Source

Question to the HM Treasury:

To ask Mr Chancellor of the Exchequer, when he expects his Department's review of airside VAT-free shopping to be published.


Answered by
David Gauke Portrait
David Gauke
This question was answered on 18th April 2016

On 31 December 2015, the Chancellor announced a review of the tax treatment of airside retail sales, with a view to identifying options for passengers to receive more of the direct benefits. HM Revenue and Customs (HMRC) has completed its initial fact finding.

The Government is keen to identify options that provide overall best value for travellers. This means fully understanding the potential impacts of possible changes on travellers, retailers and airports, and I have asked HMRC to explore these thoroughly. Once this work has been completed, decisions on the best way forward will be made in the autumn.

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