In London School of Accountancy and Management Limited v HMRC [2022] TC08559, the First Tier Tribunal (FTT) found that a VAT repayment claimed by a company in liquidation had no legal basis, was not supported by reliable evidence and would have resulted in unjust enrichment.
VAT Cases & News
Summaries of interesting VAT cases for the SME owner.
In Tower Bridge GP Limited v HMRC [2022] EWCA Civ 998, the Court of Appeal (CoA) found that a company could not recover input VAT on transactions connected to fraud. The company did not hold valid VAT invoices and HMRC were right not to exercise discretion to allow recovery of VAT.
In Conservatory Roofing UK Ltd v HMRC [2022] UKUT 00182, the Upper Tribunal (UT) found the First Tier Tribunal (FTT) had not considered all the relevant information in dismissing an appeal finding that roofing works should be standard rated for VAT purposes. The UT remitted the decision to the FTT to be remade.
In HMRC v Netbusters (UK) Limited [2022] UKUT 00175, the Upper Tribunal (UT) confirmed that the provision of football pitches and league management services were one single composite supply and so exempt from VAT.
HMRC have published Revenue & Customs Brief 10 (2022) 'VAT - business and non-business activities' confirming the updated approach to establishing whether an activity is a business activity or not, following the case of Wakefield College v HMRC [2018] EWCA Civ 952.
In Maddison and Ben Firth T/A Church Farm v HMRC [2022] TC08496, the First Tier Tribunal (FTT) dismissed the appellants' claim for input VAT for two luxury cars, a private number plate and pilates clothing on the basis that they were not allowable business expenditure for VAT purposes.
In Haymarket Media Group Limited v HMRC [2022] TC08495, the First Tier Tribunal (FTT) found that the sale of TV studios to a property developer could not qualify as a Transfer of a Going Concern (TOGC) for VAT purposes. The vendor and buyer were not carrying on the same kind of business.