»Ê¹ÚÌåÓýapp

Article 135.1 (b) of the VAT directive exempts:

»Ê¹ÚÌåÓýapp granting and the negotiation of credit and the management of credit by the person granting it.

»Ê¹ÚÌåÓýapp above has been enacted into UK law as the VAT Act 1994, Schedule 9, Group 5, items 2, 2A, 3 and 4, which exempt:

2. »Ê¹ÚÌåÓýapp making of any advance or the granting of any credit.

2A. »Ê¹ÚÌåÓýapp management of credit by the person granting it.

3. »Ê¹ÚÌåÓýapp provision of the facility of instalment credit finance in a hire-purchase, conditional sale or credit sale agreement for which facility a separate charge is made and disclosed to the recipient of the supply if goods.

4. »Ê¹ÚÌåÓýapp provision of administrative arrangements and documentation and the transfer of title to the goods in connection with the supply described in item 3 if the total consideration therefore is specified in the agreement and does not exceed £10.

Notes (3) and (4) state:

3. Item 2 includes the supply of credit by a person, in connection with a supply of goods or services by him, for which a separate charge is made and disclosed to the recipient of the supply of goods or services.

4. This Group includes any supply by a person carrying on a credit card, charge card or similar payment card operation made in conjunction with that operation to a person who accepts the card used in the operation when presented to him in payment for goods or services.