In A N Checker Heating & Service Engineers v HMRC [2018] UKUT 292, the Upper Tribunal (UT) found that a single supply cannot be artificially split to allow reduced rate to apply to one component of that supply.
VAT Cases & News
Summaries of interesting VAT cases for the SME owner.
In BPP University College of Professional Studies Limited v HMRC [2018] TC06632¸ the First-Tier Tribunal (FTT) found that printed materials was a separate zero-rated supply to tuition courses provided by another group company.
In Rowhildon Ltd v HMRC [2018] TC06669¸the First-Tier Tribunal (FTT) decided that HMRC were unreasonable to refuse a belated notification of an option to tax, as there was sufficient evidence of the positive decision to opt.
In Taylor Wimpey PLC v HMRC [2018] UKUT 55, the Upper Tribunal (UT) concluded that the majority of the kitchen goods included in houses sold were subject to the ‘Builder’s block’ on recoverable VAT.
HMRC has published updated guidance on the VAT exemption for domestic service charges which has been erroneously relied on by some landlords and property management companies.
In Colchester Institute Corporation v HMRC [2018] TC06657, the First Tier-Tribunal (FTT) found that the provision of education to the extent it is funded by funding agencies is not an economic activity for VAT.
In T Hughes v HMRC [2018] TC06609, the First-Tier Tribunal (FTT) found that a pub intending to close part of every year to remain under the VAT threshold had crossed the threshold and had no reasonable excuse for not registering.