Uber to pay $700 million to UK tax authorities

Uber announced that it will pay 615 million pounds (about 700 million dollars) to the British tax authorities for the IVA overdue linked to a court decision that established the existence of a contractual relationship between the platform and its drivers.

In December 2021, the London High Court ruled that the vehicle platforms operating in the British capital were not, as argued Ubermere “agents”, but had a direct contractual relationship with customers.

The decision followed a ruling by the British Supreme Court which, in February 2021, found that drivers officiating on booking platforms were indeed salaried workers and not self-employed.

The High Court ruling had the effect of forcing ride-sharing apps to incorporate the IVA in your rates.

Then the tax authorities of United Kingdom claimed to Uber the value added tax.

Apart from its results for the third quarter of 2022, published this Tuesday, Uber indicated that an agreement was reached between the two parties on Monday, which provides for the payment of 615 million pounds to the British tax authorities before the end of the year.

The group clarified that this expense will not have a “significant impact” on its accounts. “We have sufficient reservations” related to this file, he said in a press release.

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