In Bramall Contracts Limited & Others v HMRC [2018] TC06648, the FTT concluded that VAT had not been recovered on cars purchased for leasing and therefore the repayment claim for VAT on manufacturer bonuses were recoverable.
VAT Cases & News
Summaries of interesting VAT cases for the SME owner.
In Olive Garden Catering Ltd v HMRC [2018] TC06595, the FTT found that the appellant was providing separate supplies of food and services, but the services provided were standard rated catering services.
In Kinnerton Confectionery Limited v HMRC [2018] TC06548¸ the FTT decided that an allergen-free chocolate bar was standard rated as confectionary and was not food for VAT.
In Marcandi Ltd v HMRC [2018] C-544/16, the CJEU ruled that the bid credits sold by ‘Madbid’ to penny-auction participants are supplies of services, not part of the supply of goods.
HMRC have published ‘VAT, Air Passenger Duty and Tourism in Northern Ireland: summary of responses’ and, whilst acknowledging the effect on tourism of these taxes, will take no action at this stage.
HMRC have published ‘Alternative method of VAT collection – split payment: summary of responses’, and have indicated they will continue to work towards a viable alternative VAT collection model for online shopping.