ECJ referral on VAT on costs of a non-business investment activity: University Of Cambridge [2018] EWCA Civ 568

This case concerns input VAT recovery by an entity with a mixture of economic and non-economic activities. The Court of Appeal (CoA) has decided that the existing ECJ case law is not sufficiently clear to determine whether the Taxpayer is entitled to treat input VAT incurred on the management of an investment fund, the activities of which were agreed by HMRC to be non-economic, as residual to its wider mixture of taxable and exempt business activities. So the CoA has decided that it requires a preliminary ruling on the matter from the ECJ.