The tribunal ruled that the different taxation of different types of slot machines and slot machine games compared to online games was a breach of fiscal neutrality.

The case concerns the VAT exemption for Rank Group for gambling in the period between 2006 and 2013. The amount of the claim has not yet been agreed on by the two parties.

If HMRC and Rank Group does not reach an agreement within 56 days of the First Tier Tribunal’s decision, there will be a further tribunal to determine the amount of VAT paid back to Rank Group.

During the timeframe in the dispute, VAT exemption applied to online gaming and to certain categories of slot machines while other slot machines were subject to VAT.