LONDON: Car service Uber is using a gap in EU and UK tax rules to avoid incurring sales tax on the booking fees it charges drivers in Britain, a practice a senior politician said was unfair to competitors and defied the intent of the law.
San Francisco-based Uber charges lower fares than rival ride hailing apps. In Britain, its competitors' fares include 20% value added tax (VAT) on booking fees, but Uber's fares do not.
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