Fenix International Ltd v HMRC

In Fenix International Ltd v HMRC (Case C-695/20) (28 February 2023) the CJEU upheld the validity of an EU VAT regulation which required an online platform for creators selling original content to account for VAT on the full value of charges paid by platform users. The platform had sought to argue that VAT was only due on the amount that it levied on creators. 

Fenix was a UK VAT registered company which operated the ‘OnlyFans’ platform. The platform was offered to users around the world who were divided into ‘creators’ and ‘fans’. A creator would set up a profile to which they would upload content such as videos and photos. Fans could access that content by either making one-off payments or subscription payments. There was also the option to ‘tip’ creators (i.e. to give donations without any content provided in return). Fenix made its money by levying 20% on sums...