News

UK government wants Supreme Court to reinstate retail ATM tax

December 7, 2018

Last month, U.K. merchants celebrated a win in their battle against the government’s policy of taxing ATMs on their premises with an appeals court ruling that such machines could not be classified as a separate — and thus, taxable — business.

This month, however, they learned that the fight is not over yet. According to a report by Talking Shop, the U.K. government has made application to the Supreme Court to overturn the appeals court ruling and reinstate the business rate for ATMs, whether inside or outside of a shop. 

If the Supreme Court grants the case a hearing, it could be another two years before the case is finally resolved, global real estate advisor Colliers International told the publication.

At stake is 500 million pounds ($639 million) that the government assessed retailers in a retroactive taxing decision. A representative of Colliers told the publication that the government’s continued pursuit of the case represents "one of the most destructive and cavalier actions to retail jobs and public finance ever taken by public servants. It’s just breathtaking."

According to the report, merchants have 14 days to oppose the application, although the court’s decision on such a petition probably would not come until June.