In Mainpay v HMRC [2022] EWCA Civ 1620, the Court of Appeal found that the supply of temporary medical staff by an umbrella company was a standard-rated supply of staff and was not exempt as a supply of medical services.
VAT Cases & News
Summaries of interesting VAT cases for the SME owner.
In Ashtons Legal v HMRC [2022] TC08641, the First Tier Tribunal (FTT) found that a partnership was able to recover input VAT on property leases entered into by an associated company. The economic and commercial reality was that the partnership was the recipient of the supply.
In HMRC v NHS Lothian Health Board [2022] UKSC 28, the Supreme Court (SC) dismissed NHS Lothian's historic input VAT claims on the grounds that there was insufficient evidence to support the value claimed.
In Northumbria Healthcare NHS Foundation Trust v HMRC [2022] UKUT00267, the Upper Tribunal (UT) found the provision of car parking by an NHS trust was subject to VAT.
In DCM (Optical Holdings) Ltd v HMRC [2022] UKSC 26, the Supreme Court (SC) ruled on whether a VAT best judgement assessment was made in time and confirmed that HMRC’s obligation to pay a VAT credit arises only when it is established that the VAT credit is due.
In Lucky Technology Limited v HMRC [2022] TC08616, the First Tier Tribunal (FTT) held that input VAT could be reclaimed on Steam vouchers purchased from a Harrods concession. They were retailer vouchers, Harrods was acting as principal not agent, so VAT had correctly been charged and could be reclaimed.
In Innovative Bites Limited v HMRC [2022] TC08605, the First Tier Tribunal (FTT) found that ‘Mega Marshmallows’ were not confectionery and so were zero-rated for VAT purposes.