allpay ltd. VAT update – legal advice

Following our previous update regarding the current ruling by HMRC to reclassify the services offered by allpay under our Electronic Payment Services framework, we have sought legal advice as this is an extremely concerning situation for our members.

The initial advice received is that the “end user” is required to pay the VAT on eligible goods and services. We are aware that this will bring increasing pressure on members in already difficult times financially and will continue to work with allpay to understand the issues, progress on the on-going legal proceeding with HMRC and the impact this will have on our members.

Please contact allpay on vatenquiries@allpay.net for further details or solutions@consortiumprocurement.org.uk.