Are Digital Publications Zero Rated as a Newspaper?
Hot off the press – sorry – as the UK Supreme Court has issued its judgment on the 22 February 2023 on the appeal by News Corp on the ability to apply the zero rate on charges to access digital publications. The judgment is that the “term “newspapers” in Item 2, Group 3, Schedule 8 of the VATA Act does not include digital editions, with the result that the supplies of the digital editions by News Corp during the relevant period were not zero-rated.”
Short and to the point as news should be but not good news for any VAT sensitive clients who were hoping that a success in this case would ease their irrecoverable VAT costs.
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