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Was grant-funded income for the provision of education a supply of services for consideration?

By Andrew Needham, March 2025

Summary 

This was an appeal by HM Revenue and Customs (HMRC) against a decision of the First-tier Tribunal (FTT) that certain grants received by Colchester Institute Corporation (CIC) from government-funded agencies constituted "a supply of services for consideration" (the ‘consideration issue’).  

Background 

The Upper Tribunal (UT) in Colchester Institute Corporation v HMRC [2020] UKUT 368 (TCC) (‘CIC UT 2020’) had previously decided the consideration issue in CIC's favour, in relation to materially similar grant-funded provision of education and training (but in relation to earlier VAT periods). As that UT decision was binding on the FTT, and the consideration issue was determinative of the appeal, the FTT allowed CIC's appeal. <>

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