Revenue & Customs Brief 14 (2020) changes to the methods used by opticians and sellers of hearing aids to account for VAT on their supplies.
VAT Cases & News
Summaries of interesting VAT cases for the SME owner.
In Marshalls Bathroom Studio Ltd ('Marshalls') v HMRC [2020] TC07753, the First Tier Tribunal (FTT) found that output tax was due on payments made by Marshalls' customers directly to sub-contractors because the sub-contractors were working for Marshalls.
In Concept Multi-Car Limited (CMC) v HMRC [2020] TC07824, the First Tier Tribunal (FTT) upheld a company's VAT default surcharge there was no evidence that CMC attempted to set up a new direct debit instruction.
In Greenspace (UK) Limited v HMRC [2020] TC07828, the First Tier Tribunal (FTT) found that supply and installation of conservatory roof insulation in the form of insulated roof panels is a standard-rated supply for VAT.
In The Ice Rink Company Ltd Planet Ice (Milton Keynes) Ltd v HMRC [2020] TC07829, the First Tier Tribunal (FTT) held that the hire of children's ice skates is a separate supply from admission to an ice rink.
HMRC have written letters to VAT-registered businesses in Great Britain trading with the EU and/or the rest of the world, highlighting actions they need to take to continue trading with the EU from 1 January 2021.
HM Treasury has published a new call for evidence on 'VAT Grouping - Establishment, Eligibility and Registration'. Its aim is to gather the views of businesses that utilise VAT grouping provisions, including partnerships and other interested parties, on how these affect them and the wider business environment.