Journal: TWUKSection:
Title: Issue Date: 12/06/00
Author: Page Number: 72
Copyright: Other

ABTA clears up VAT confusion

ABTA has confirmed that agents will not have to add VAT to the fees British Airways will pay when it abolishes commission next January.

The reassurance follows concerns raised by Advantage Travel owner Murray Harrold, who feared agents would have to charge VATon the £5 and £10 payments, or that VATwas included in those amounts. But an ABTAspokesman said the payments are regarded as commission and will be zero rated.