VATA 1994 Sch.6 para.9 – Interpretation

9 (1) This paragraph applies where a supply of services consists in the provision of accommodation falling within paragraph (d) of Item 1 of Group 1 in Schedule 9 and—

(a) that provision is made to an individual for a period exceeding 4 weeks; and

(b) throughout that period the accommodation is provided for the use of the individual either alone or together with one or more other persons who occupy the accommodation with him otherwise than at their own expense (whether incurred directly or indirectly).

(2) Where this paragraph applies—

(a) the value of so much of the supply as is in excess of 4 weeks shall be taken to be reduced to such part thereof as is attributable to facilities other than the right to occupy the accommodation; and

(b) that part shall be taken to be not less than 20 per cent.

Definitions used in Schedule 6, paragraph 9 2

incurred: (2) Schedule 11A (disclosure of avoidance schemes) has effect as if the reference to VAT “incurred” by a taxable person in paragraph 2A(1)(b) included VAT on the acquisition by the person of any goods from a member State.
Defined in Sch.9ZA para.72(2) · see it in the full Act; (b) the references to VAT “incurred” by a taxable person in paragraphs 6(1)(b) and 36(7)(b) included VAT on the acquisition by the person of any goods from a member State.
Defined in Sch.9ZA para.79 · see it in the full Act
: (2) Subsection (1) shall have effect in a case falling within paragraph (b) of that subsection where the assessment was made on or before 10th March 1992 with the substitution of “20 per cent.” for “15 per cent.” .
Defined in Sch.13 para.15(2) · see it in the full Act

Cases considering Schedule 6, paragraph 9 3

Colaingrove Ltd. v Customs & Excise

[2004] EWCA Civ 146 · 19 February 2004

The provision reduced the VAT consideration for hotel accommodation occupied for more than 28 days. The court treated it as a potentially different regime and did not require its treatment to be read across to seasonal caravan pitches. (see paras [8]; [18]; [39])

Realreed Limited, R (on the application of) v Commissioners for HMRC

[2023] EWHC 1572 (Admin) · 26 June 2023

The court applied the statutory four-week rule as part of the assumed VAT framework, under which the accommodation element of a longer supply was reduced and at least 20 per cent was attributed to other facilities (see para [17]).

Colaingrove Ltd. v The Commissioners for Customs and Excise

[2003] EWHC 821 (Ch) · 16 April 2003

Cited in support of the argument that the UK treatment of long hotel stays recognised an exempt accommodation element. The court rejected the proposed comparison with seasonal pitches as involving materially different transactions. (see paras [28]-[30])

What each judgment says about Schedule 6, paragraph 9 is in the case-law panel in the full Act.