In Global Switch Limited v HMRC [2017] TC06252, the First-Tier Tribunal agreed that a £297,845 surcharge, which was ultimately realised due to a £1,500 VAT error, was appropriate.
VAT Cases & News
Summaries of interesting VAT cases for the SME owner.
In HMRC v Balhousie Holdings Limited [2017] UKUT 410, the Upper Tribunal (UT) agreed with HMRC, that the sale and leaseback of a care home was the disposal of an entire interest in a property and a self-supply VAT charge arose.
In Hanuman Commercial Limited v HMRC [2017] TC06249, the First-Tier Tribunal (FTT) concluded that the novation of a contract for the sale of land was a standard rated supply not an exempt supply of land.
In Harley-Davidson Europe Limited v HMRC [2017] TC06268, the FTT agreed with the taxpayer that the membership fees should be apportioned between zero-rated and standard rated supplies.
In The Ice Rink Company Ltd and PI (Milton Keynes) Ltd [2017] TC06117, the FTT agreed with the taxpayer that the supply of access to the ice rink and hire of skates were two separate supplies.
In Lunar Missions Limited v HMRC [2018] TC06286, the First-Tier Tribunal (FTT) concluded that the receipt of funds raised on Kickstarter triggered an obligation to register for VAT. This decision was upheld by the UT in October 2019.
In HMRC v Astral Construction Limited [2015] UKUT 0021, the Upper Tribunal (UT) found that a new nursing home constructed on the site of a redundant church, and which incorporated the original church, could still qualify for zero-rating.