HMRC have published 'Revenue and Customs brief 9 (2025): VAT liability of the supply of temporary medical staff', which confirms that supplies of locum doctors qualify for the VAT exemption under Item 5, Group 7, Schedule 9, VAT Act 1994.
VAT Cases & News
Summaries of interesting VAT cases for the SME owner.
In Charge My Street Ltd v HMRC [2026] TC09802, the First Tier Tribunal (FTT) found that electric vehicle charging supplied at public charging stations qualified for VAT reduced rating.
In Aspire in the Community Services Limited v HMRC [2026] TC09789, the First Tier Tribunal (FTT) allowed recovery of input VAT on purchases made before the Effective Date of Registration (EDR). Under the pre-registration input VAT reclaim rules, there was no basis for taking into account pre-registration use.
In Alan and Diane McFarland (a partnership) v HMRC [2026] TC09799, the First Tier Tribunal (FTT) found that the supply of 'bed and breakfast' services provided for cattle was not two separate supplies for VAT purposes.
In Story Terrace Limited v HMRC [2025] TC09725, the First Tier Tribunal (FTT) found that a company providing personalised ghost-written books was making a zero-rated supply for VAT purposes. The book was the predominant element of the supply despite significant research, writing, and design services, which would have been standard-rated in isolation.
In Julian & Anor v HMRC [2026] TC09768, the First Tier Tribunal (FTT) found that taxpayers who failed to register for VAT had a reasonable excuse. In the circumstances, it was objectively reasonable for them to be unaware of changes to the Agricultural Flat Rate Scheme, which resulted in their VAT registration obligation.
In Mark Glenn Ltd v HMRC [2026] UKUT 00034, the Upper Tribunal (UT) found that the supply of a female hair loss treatment system was zero-rated for VAT purposes. In the circumstances, hair loss was a disability, and the treatment consisted of adapting goods to suit the condition of the disabled person.
