Measures for new penalties for late payment of Corporation Tax, Income Tax, Capital Gains Tax, and VAT as well as new measures to change VAT repayment interest rules so that they more closely align to the rules for Income Tax Self-Assessment and Corporation Tax which have been dropped from Finance Bill 2019 will be included in a future Finance Bill.
VAT Cases & News
Summaries of interesting VAT cases for the SME owner.
In Abbotsley Limited & Others v HMRC [2018] UKUT 0191, the Upper Tribunal (UT) found that the CONGU handicap system was essential to golf, such that the fees paid towards its administration are exempt.
HMRC has issued new guidance on when goods are supplied on approval and how this impacts the time of supply and postage costs for VAT.
The Law Society has issued interim guidance to its members on property search fees and when these should be disbursements. This follows the decision in Brabners, which suggested the fees could never qualify as disbursements.
In The Rank Group PLC v HMRC [2018] TC06483, the First-Tier Tribunal (FTT) found that where input VAT overclaimed is set-off against output VAT overpaid, that input VAT has not been 'paid' back to HMRC.
In Redwood Birkhall Limited v HMRC [2018] UKUT 0189, the Upper Tribunal (UT), concluded that the share of a group discount negotiated, and retained in part, by a company on behalf of multiple companies, was a VAT supply of services to those companies.
In Essex International College Limited v HMRC [2018] TC06343, the First-Tier Tribunal (FTT) found that the College provided a VAT single supply of standard rated education. It was not an eligible body providing exempt education and it could not separate the books into a zero-rated supply.