BAV-TMW-Globaler-Immobilien Spezialfonds v Revenue and Customs Commissioners

Income tax – Relief. The taxpayer incorporated pension scheme (BӒV) was not a 'public service pension scheme' for the purposes of s 154(2) of the Finance Act 2004 and was therefore not eligible to be registered under s 153 of that Act because it had been established by an enactment of a foreign legislative body, namely the Bavarian Parliament. It followed that the legislation was overtly discriminatory and in breach of the prohibition of restrictions on the movement of capital in art 63 of the Treaty on the Functioning of the European Union. Consequently, the First-tier Tribunal (Tax Chamber) allowed BAV's appeal against closure notices issued by the Revenue and Customs Commissioners in response to the claim by BAV's investment fund for repayment of income tax obtained from investment income, which a UK registered pension scheme would have been exempt from.

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