Trafalgar Tours Ltd. v. Customs and Excise Commissioners, [1990] BTC 5003 (C.A.) -- summary under Subsection 153(1)

The taxpayer organized overseas coach tours and received 80% of the tour price listed in the brochure from its Bermudan parent. It was found that the taxpayer was the person with whom the passengers contracted and that sums paid by the passengers to overseas subsidiaries of the Bermudan parent were received by the subsidiaries for and on behalf of the taxpayer through a chain of agency arrangements, and that the only reason why the taxpayer did not actually receive the full sums paid by the passengers was that it permitted sums to be deducted by the overseas subsidiaries by way of commission for their respective services in marking the tours on behalf of the taxpayer. Accordingly, the "consideration" received by the taxpayer for the supply was the full price, rather than 80% thereof. Slade L.J. stated that (p. 5012) "the concept of receipt for this purpose is not to be confined to mere physical receipt; anything which is received by persons for and on behalf of the supplier must be treated for this purpose as received by the supplier himself".