VBANDG01500 | European VAT law

Whilst it was in the EU the UK had to ensure that the UK legislation reflected the EU legislation. The authority in European VAT law for the exemption for betting and gaming under VAT Act 1994, Schedule 9, Group 4 items 1 and 2 came from Article 135(1)(i) of the EU Principal VAT Directive, which exempted:

Betting, lotteries and other forms of gambling, subject to conditions and limitations laid down by each Member State

The wording of Article 135(1)(i) allowed the UK to introduce its own conditions and limitations, and therefore to exclude from exemption those payments referred to in VBANDG01300.