Argos Distributors Ltd v Commissioners of Customs & Excise.

• Jurisdiction: European Union
• Celex Number: 61994CJ0288
• ECLI: ECLI:EU:C:1996:398
• Docket Number: C-288/94
• Date: 24 October 1996
• Court: Court of Justice (European Union)
• Procedure Type: Reference for a preliminary ruling

Avis juridique important

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61994J0288

Judgment of the Court (Sixth Chamber) of 24 October 1996. - Argos Distributors Ltd v Commissioners of Customs & Excise. - Reference for a preliminary ruling: Value Added Tax Tribunal, London - United Kingdom. - Value added tax - Sixth Directive - Taxable amount. - Case C-288/94.

European Court reports 1996 Page I-05311

Summary
Parties
Grounds
Decision on costs
Operative part

Keywords

Tax provisions ° Harmonization of laws ° Turnover taxes ° Common system of value added tax ° Taxable amount ° Sales transaction involving acceptance, at face value, of a voucher previously sold at a discount ° Taxable amount constituted by the sum actually received on sale of the voucher

(Council Directive 77/388, Art. 11A(1)(a))

Summary

Article 11(A)(1)(a) of the Sixth Directive, Directive 77/388, on the harmonization of the laws of the Member States relating to turnover taxes, must be interpreted as meaning that, when a supplier has sold a voucher to a buyer at a discount and promised subsequently to accept that voucher at its face value in full or part payment of the price of goods purchased by a customer who was not the buyer of the voucher, and who does not normally know the actual price at which the voucher was sold by the supplier, the consideration represented by the voucher is the sum actually received by the supplier upon the sale of the voucher. It is therefore that sum, and not the face value of the voucher, which, in accordance with that article, must be adopted as the taxable amount for application of value added tax to the sale in respect of which the voucher was accepted in payment.

Parties

In Case C-288/94,

REFERENCE to the Court under Article 177 of the EC Treaty by the VAT and Duties Tribunal, London, for a preliminary ruling in the proceedings pending before that court between

Argos Distributors Limited

and

Commissioners of Customs and Excise

on the interpretation of Article 11 of the Sixth Directive, Council Directive 77/388/EEC of 17 May 1977 on the harmonization of the laws of the Member States relating to turnover taxes ° Common system of value added tax: uniform basis of assessment (OJ 1977 L 145, p. 1),

THE COURT (Sixth Chamber),

composed of: G.F. Mancini, President of the Chamber, C.N. Kakouris (Rapporteur) and G. Hirsch, Judges,

Advocate General: N. Fennelly,

Registrar: H. von Holstein, Deputy Registrar,

after considering the written observations submitted on behalf of:

° Argos Distributors Ltd., by David Milne QC, instructed by Herbert Smith, Solicitors,

° the United Kingdom Government, by Stephen Braviner, of the Treasury Solicitor' s Department, acting as Agent, assisted by Nicholas Paines, Barrister,

° the Greek Government, by Michail Apessos, Legal Adviser in the State Legal Service, Foteini Dedousi, Agent for Legal Proceedings in the State Legal Service, and Anna Rokofyllou, Special Adviser to the Deputy Minister for Foreign Affairs, acting as Agents,

° the Commission of the European Communities, by Peter Oliver and Enrico Traversa, of its Legal Service, acting as Agents,

having regard to the Report for the Hearing,

after hearing the oral observations of Argos Distributors Ltd, represented by David Milne QC, the United Kingdom Government, represented by Kenneth Parker QC, the Greek Government, represented by Michail Apessos and Fokion Georgakopoulos, Legal Adviser in the State Legal Service, acting as Agent, and Anna Rokofyllou, and the Commission, represented by Peter Oliver and Enrico Traversa, at the hearing on 25 April 1996,

after hearing the Opinion of the Advocate General at the sitting on 27 June 1996,

gives the following

Judgment

Grounds

1 By order of 26 September 1994, received at the Court Registry on 25 October...