In Mainpay Limited v HMRC [2020] TC07690, First Tier Tribunal (FTT) found Mainpay was making a taxable supply of medical staff for VAT rather than exempt medical care.
VAT Cases & News
Summaries of interesting VAT cases for the SME owner.
In Europcar Group UK Ltd v HMRC [2020] TC7733, First Tier Tribunal (FTT) found that the supply of a car seat was separate to the supply of a car and should be charged at a reduced rate of VAT.
In Stonypath Developments Ltd v HMRC [2020] TC7735, input VAT was disallowed on the purchase from a a related company there was insufficient documentation to support the claim.
In Landlinx Estates Ltd v HMRC [2020] TC7706, the First Tier Tribunal (FTT) found that release of an option to buy land (which was not opted to tax) was an exempt supply in line with EU legislation and HMRC's long-standing guidance. HMRC failed in its attempt to advance an argument to the contrary.
In Colin and Susan Slaymark v HMRC [2020] TC7709, the First Tier Tribunal (FTT) found that input tax on a commercial property where the occupants had no obligation to pay rent should be disallowed.
In HMRC v Northumbria Healthcare NHS Foundation Trust [2020] EWCA Civ 874, the Trust was able to fully recover VAT on cars supplied to its employees under a salary sacrifice scheme, whilst also not charging VAT on the leases. It was deemed not to be carrying out an economic exercise.
In Mandarin Consulting Limited v HMRC [2020] TC07714, a career coaching service to Chinese students was found to be a supply of consultancy services and not of education. The place of the supply for VAT turned on whether the supply was made to students staying in the UK or their parents in China.