HMRC v DPAS

In HMRC v DPAS (Case C-5/17) (25 July 2018) the CJEU found that services provided under a dental plan were not exempt under the Principal VAT Directive art 131(1)(d)).

DPAS provided practice branded dental plans which were arrangements between a dentist and his or her patient under which the dentist agreed to provide a certain level of dental care for a monthly fee. The plan also included insurance and payment administration services provided by DPAS. The issue was whether DPAS provided services to patients; and if so whether these services were exempt as ‘transactions concerning payments and transfers’ (art 131(1)(d)).

The CJEU observed that the transactions exempted under art 131(1)(d) are defined according to the nature of the services provided (which should relate to financial transactions) and not in terms of the person supplying or receiving the service. The court referred to its own decision in...