FTTTx VALUE ADDED TAX – Decision of HMRC to cancel the Appellant’s VAT registration with effect from a particular date on the grounds that he was not currently trading nor had traded for the past 5 years – whether within the powers of HMRC under para.13(2), Sch. 1, VATA – held no, because not a cancellation with effect from the day on which the registered person ceased to be registrable – whether the Appellant was entitled to be registered on that date on the basis that he was then carrying on a building business and intending to make taxable supplies in the course or furtherance of it within the meaning of para. 9(b), Sch. 1, VATA – held yes, because he had at that date made a preparatory act which must itself be treated as an economic activity (Rompelman v Minister van Financien) – whether tax claimed as recoverable input tax in VAT periods falling after that date was properly repayable to the Appellant – held in principle that such tax was properly repayable if it was tax on cost components of the outputs of the Appellant’s building business (Inverstrand BV v Staatssecretaris van Financien) – case adjourned for the parties to agree how much, if any, of the tax claimed as recoverable input tax was repayable in the light of the Decision – Direction to apply to re-list in the event of failure to agree – Appeal allowed in part.
Citations:
[2011] UKFTT 470 (TC)
Links:
Jurisdiction:
England and Wales
VAT
Updated: 17 September 2022; Ref: scu.443170