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VAT Cases & News

Summaries of interesting VAT cases for the SME owner.

Input VAT claims allowed for Harrods Steam vouchers

Last Updated: 19 October 2022

In Lucky Technology Limited v HMRC [2022] TC08616, the First Tier Tribunal (FTT) held that input VAT could be reclaimed on Steam vouchers purchased from a Harrods concession. They were retailer vouchers, Harrods was acting as principal not agent, so VAT had correctly been charged and could be reclaimed.

Read more …

Mega Marshmallows are not confectionery for VAT

Last Updated: 09 February 2023

In Innovative Bites Limited v HMRC [2022] TC08605, the First Tier Tribunal (FTT) found that ‘Mega Marshmallows’ were not confectionery and so were zero-rated for VAT purposes.

Read more …

Input VAT: payments must be linked to intention to trade

Last Updated: 29 September 2022

In Hedge Fund Investment Management Limited v HMRC [2022] TC8596, the First Tier Tribunal (FTT) quashed penalties as it found that the taxpayer had an intention to trade and was able to reclaim input VAT to the extent that it could be established that it related to future taxable supplies. 

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VAT deregistration denied, penalties upheld

Last Updated: 29 September 2022

In Jagvinder Takhar t/a Golden Fry v HMRC [2022] TC08593, the First Tier Tribunal (FTT) upheld HMRC’s VAT assessment and penalties for late registration as the unrepresented taxpayer had not satisfied HMRC that they were below the VAT registration limits.

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Input VAT largely irrecoverable by property partnership

Last Updated: 22 September 2022

In Majid and Miah Properties v HMRC [2022] TC08588, the First Tier Tribunal (FTT) found a property letting partnership could not recover input VAT on the majority of incorrectly addressed purchase invoices.

Read more …

Football club VAT assessment was raised in time

Last Updated: 08 September 2022

In Nottingham Forest Football Club Limited v HMRC [2022] TC8577, the taxpayer failed to meet their burden of proof to displace a VAT assessment allowing the First Tier Tribunal (FTT) to use information provided over a year prior to the assessment that was sufficient for HMRC to identify a tax shortfall.

Read more …

Ambulance transport services zero-rated for VAT

Last Updated: 08 September 2022

In E-zec Medical Transport Services Limited v HMRC [2022] TC08574, the First Tier Tribunal (FTT) found that the supply of non-emergency ambulance transport services was zero-rated for VAT purposes. This overrode VAT exemption and allowed the recovery of input VAT.

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  1. No valid invoice or supply, no input VAT claim
  2. Prison healthcare services a single composite supply for VAT
  3. VAT repayment had no legal basis
  4. Invalid invoices prevent VAT recovery
  5. UT: FTT VAT decision flawed
  6. UT confirms football pitch hire was an exempt composite supply

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