Uber wins billionaire pounds in tax payments from the UK

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UK tax authorities have stopped collecting tens of millions of pounds per month in Uber’s VAT payments, after a setback in a legal battle related to the European Ridesharing application rival.

His Majesty’s income and customs have left his insistence Uber Continue to pay the VAT on the total cost of the walks, instead of the reduction of the company’s rate, until the matter is resolved in court, according to a note at the foot of the last quarterly financial statements in Uber.

Uber and Bolt claim that VAT should only be paid for reducing a price according to the same rules that are applied to tour operators, in a dispute that has been added to the financial and legal ambiguity hanging. walk In the United Kingdom.

Industry’s position received a boost in March when the UK Superior Court tax He ruled that Bolt was covered by the tourist operators’ margin regime, maintaining a lower court decision. HMRC said he was disappointed by the decision and sought permission to resort.

HMRC has demanded Uber Pay Pay VAT on whole rates since 2022 when the company was forced by a Supreme Court ruling in the United Kingdom to begin treating drivers as employees. Each quarter, after Uber pays the lower amount he says must, the agency sends an “evaluation” for an amount of more than 100 million pounds to cover the difference.

Uber so far has to pay the evaluations “to proceed with the appeal process”, according to the successive quarterly presentation. The amount disputed you have paid now is a total of 1.4 million pounds. “Payments do not represent our acceptance of evaluations,” he says.

The last presentation of the company on Wednesday, however, revealed that tax authorities had softened their position. “HMRC has expressed its intention not to fulfill the evaluations waiting for the determination of the call of a competitor on a related matter,” said Uber.

HMRC refused to comment on its change of position, citing the confidentiality of taxpayers, but said: “When we appeal an adverse court decision, we continue to take steps to protect revenue to ensure that we can charge the tax due if it is successful.”

Uber refused to comment beyond his presentation.

The company generated approximately 5.3 million pounds in the United Kingdom in 2023, according to its recent public archives, around 18 percent of its world income that year.

Uber began operating in the United Kingdom in 2012, three years after its foundation, but has faced a shrill opposition from more traditional taxi drivers. It is subjected to a demand for several pounds of London pounds that black cabin drivers claim that they obtained an improper license for transport for London.

Uber said that demand was based on “completely unfounded” statements.