News

Tour Operators Margin Scheme

posted 06 Dec 2009
categories: Notices, Revenue & Customs Brief

HMRC have published a new Tour Operators Margin Scheme Notice (709/5 November 2009) and Revenue & Customs Brief 74/09 on the transition arrangements for supplies that span 1 January 2010.

Transitional arrangements

The changes outlined in Revenue & Customs Brief 27/09 come into force on 1 January 2010. There will inevitably be some supplies that straddle the date of the change. The Revenue & Customs Brief sets out how to deal with these supplies.

New Notice

The new notice replaces the August 2004 version of the notice. HMRC list the following changes in the notice:

This updated version of the notice has been produced primarily to include important changes to TOMS legislation and practice which come into effect from 1 January 2010. These changes have already been published in Revenue & Customs Brief 27/09. The sections of this notice which have been altered to take account of these changes are:

2.13, 3.1, 3.2, 3.3, 3.4, 3.5, 5.2, 5.3, 5.4, 5.5, 5.6, 5.11, 5.14, 6.2, 6.12, 6.13, plus the sections which have force of law, 8, 9, 10, 11, 12 and 13.

The changes relate to removal of the opt-in to the TOMS for wholesale supplies (previously detailed in section 3.2), removal of the opt-out for travel supplies consumed by businesses (previously detailed in section 3.3) and the introduction of a new market value calculation (annual adjustment),which is set out in a new section 8).

In addition to these changes the following sections have been changed: