VATPOSS13200 - Other services to non-UK customers (B2C): Advertising services
This paragraph covers all services involved in publicising another person’s name or products with a view to increasing their sales. It includes advertising services in different media such as radio and television broadcasting or in publications or on advertising hoardings. However, where such services are supplied via the Internet you will need to consider whether the rules for electronically supplied services are applicable.
The European Commission brought three cases before the European Court of Justice, where it argued that the national authorities of France (C-68/92), Luxembourg (C-69/92), and Spain (C-73/92) applied an interpretation of advertising which was too restrictive. All three countries refused to accept that, in the context of the supply of an advertising campaign, the term covered the sale of goods to be given away as part of the campaign, or the provision of press conferences, cocktail parties, seminars, recreational functions and other forms of public relations, letting of sites for advertising, or printing of advertising materials. The Court found that such supplies were covered by the term advertising in what was Article 9.2(e) of the Sixth Directive. Therefore when supplied as part of an advertising campaign were eligible for treatment as supplied where the recipient belonged.