In WTGIL Ltd v HMRC [2025] EWCA Civ 399, the Court of Appeal (CoA) found that an insurance intermediary providing and fitting driving-monitoring devices was making an exempt supply for VAT purposes.
VAT Cases & News
Summaries of interesting VAT cases for the SME owner.
HM Treasury has published a consultation on a proposed new VAT relief for business donations of goods to charity. The proposal is to align the VAT treatment of goods donated for onward gifting or use by a charity with the VAT treatment for goods donated for resale.
HMRC have published 'Revenue and Customs Brief 2 (2025): The use of VAT grouping within the care industry', aimed at state-regulated care providers that form a VAT group with a non-state-regulated provider of welfare services.
In HMRC v Innovative Bites Ltd [2025] EWCA Civ 293, the Court of Appeal (CoA) allowed HMRC’s appeal and remitted the case to the First Tier Tribunal (FTT) to consider whether Mega Marshmallows are a 'sweetened prepared food which is normally eaten with the fingers'.
In HMRC v Bolt Services UK Ltd [2025] UKUT 0100, the Upper Tribunal (UT) found that mobile app ride-hailing services were within the scope of the Tour Operators Margin Scheme (TOMS).
In Sammy Garden Ltd v HMRC [2025] TC09443, the First Tier Tribunal (FTT) found that a company was liable to account for output VAT from its effective date of registration, not the date that it learned of its VAT registration which was nearly four months later.
The Chartered Institute of Taxation (CIOT) is warning that VAT phishing emails are resurging. HMRC emphasises that they do not embed web links in their communications.
