HMRC have clarified the VAT treatment of business to business supplies of land related to exhibition stands when supplied with other services, so that the UK is not at a disadvantage. This was because other EU countries were interpreting the recent changes to the place of supply slightly differently.
Currently HMRC regards the supply of specific stand space at an exhibition or conference as a supply of land. This policy will continue where the service is restricted to the mere supply of space without any accompanying services.
However, where stand space is provided with accompanying services as a package, this package (stand and services) will no longer be seen as a supply of land with land related services but will be taxed under the general place of supply rule (customer location) when supplied to business customers.
