VAT & The Tour Operators’ Margin Scheme (TOMS) - A Practical Overview

Introduction

The Tour Operators’ Margin Scheme (TOMS) is a specialised VAT accounting scheme used by UK businesses that buy in and resell travel-related services. Rather than charging VAT on the full selling price, VAT is applied only to the profit margin earned by the supplier.

In this webinar, VAT specialist Jasmine Martin from MHA will provide accountants and tax advisers with a practical overview of how TOMS operates, when it applies, and how to calculate and report VAT under the scheme.

What You Will Learn

This webinar will cover the following:

• The basic VAT framework relevant to travel services
• The Place of Supply (POS) rules affecting travel transactions
• What is TOMS and when does it apply?
• How VAT is calculated on the TOMS margin
• How TOMS is reported within VAT returns
• A worked example demonstrating the calculation process