CELEX: C1998/397/04
Language: en
Date: 1998-12-19 00:00:00
Title: JUDGMENT OF THE COURT (Fifth Chamber) of 22 October 1998 in Joined Cases C-308/96 and C-94/97 (references for a preliminary ruling from the High Court of Justice of England and Wales, Queen's Bench Division, and the VAT and Duties Tribunal, London): Commissioners of Customs and Excise v. T. P. Madgett and R. M. Baldwin, and T. P. Madgett and R. M. Baldwin v. Commissioners of Customs and Excise (VAT - Article 26 of the Sixth VAT Directive - Scheme for travel agents and tour operators - Hotel undertakings - Accommodation and travel package - Basis of calculation of the margin)

19.12.98             EN                Official Journal of the European Communities                                      C 397/3
              JUDGMENT OF THE COURT                                    transactions consisting of services supplied partly by
                                                                       himself and partly by other taxable persons, the VAT
                      (Fifth Chamber)                                  scheme under that article applies solely to the services
                                                                       supplied by third parties. A trader may not be required
                    of 22 October 1998
                                                                       to calculate the part of the package corresponding to
in Joined Cases C-308/96 and C-94/97 (references for a                 the in-house services by the actual cost method where
preliminary ruling from the High Court of Justice of                   it is possible to identify that part of the package on
England and Wales, Queen's Bench Division, and the VAT                 the basis of the market value of services similar to
and Duties Tribunal, London): Commissioners of Customs                 those which form part of the package.
and Excise v. T. P. Madgett and R. M. Baldwin, and T. P.
Madgett and R. M. Baldwin v. Commissioners of Customs
                        and Excise (1)                            (1) OJ C 336, 9.11.1996, and
                                                                      OJ C 131, 26.4.1997.
(VAT Ð Article 26 of the Sixth VAT Directive Ð Scheme
for travel agents and tour operators Ð Hotel undertakings
Ð Accommodation and travel package Ð Basis of
                 calculation of the margin)
                       (98/C 397/04)
                                                                                 JUDGMENT OF THE COURT
               (Language of the case: English)
                                                                                          (Fifth Chamber)
                                                                                        of 22 October 1998
In Joined Cases C-308/96 and C-94/97: references to the           in Joined Cases C-9/97 and C-118/97 (references for a
Court under Article 177 of the EC Treaty from the High            preliminary ruling from the Maaseutuelinkeinojen
Court of Justice of England and Wales, Queen's Bench              Valituslautakunta (Finland): Raija-Liisa Jokela (C-9/97)
Division, and the VAT and Duties Tribunal, London, for                         and Laura Pitkäranta (C-118/97) (1)
preliminary rulings in the proceedings pending before
them between Commissioners of Customs and Excise and              (Definition of national court or tribunal' Ð Agriculture
T. P. Madgett and R. M. Baldwin, trading as The Howden            Ð Compensatory allowance for permanent natural
Court Hotel (Case C-308/96), and between T. P. Madgett                handicaps Ð Conditions for granting the allowance)
and R. M. Baldwin, trading as The Howden Court Hotel,
and Commissioners of Customs and Excise (Case C-94/97)                                     (98/C 397/05)
Ð on the interpretation of Article 26 of the Sixth Council
Directive 77/388/EEC of 17 May 1977 on the
harmonisation of the laws of the Member States relating
to turnover taxes Ð Common system of value added tax:                             (Language of the case: Finnish)
uniform basis of assessment (OJ L 145, 13.6.1977, p. 1)
Ð the Court (Fifth Chamber), composed of: J.-P.
Puissochet, President of the Chamber, J. C. Moitinho de
Almeida, C. Gulmann (Rapporteur), L. Sevón and M.
Wathelet, Judges; P. LeÂger, Advocate-General; H. A. Rühl,
Principal Administrator, for the Registrar, has given a             (Provisional translation; the definitive translation will be
judgment on 22 October 1998, in which it has ruled:                         published in the European Court Reports)
1. Article 26 of the Sixth Council Directive 77/388/EEC           In Joined Cases C-9/97 and C-118/97: References to the
    of 17 May 1977 on the harmonisation of the laws of            Court under Article 177 of the EC Treaty by the
    the Member States relating to turnover taxes Ð                Maaseutuelinkeinojen Valituslautakunta (Finland) for a
    Common system of value added tax: uniform basis of            preliminary ruling in the proceedings brought by Raija-
    assessment aplies to a hotelier who, in return for a          Liisa Jokela (C-9/97) and Laura Pitkäranta, represented by
    package price, habitually offers his customers, in            her guardian Anne Pitkäranta (C-118/97) Ð application
    addition to accommodation, return transport between           for the interpretation of Articles 17 and 18 of Council
    certain distant pick-up points and the hotel and a            Regulation (EEC) No 2328/91 of 15 July 1991 on
    coach excursion during their stay, those transport            improving the efficiency of agricultural structures (OJ
    services being bought in from third parties.                  L 218, 6.8.1991, p. 1), and Article 1 of Council Directive
                                                                  75/268/EEC of 28 April 1975 on mountain and hill
                                                                  farming and farming in certain less-favoured areas (OJ
                                                                  L 128, 19.5.1975, p. 1) Ð the Court (Fifth Chamber),
2. On a proper construction of Article 26 of the Sixth            composed of: J.-P. Puissochet, President of the Chamber, P.
    Directive 77/388/EEC, where a trader subject to that          Jann (Rapporteur), J. C. Moitinho de Almeida, C.
    article effects, in return for a package price,               Gulmann and M. Wathelet, Judges; J. Mischo, Advocate-