VAT – assessment to recover disallowed input tax – section 24 of the Value Added Tax Act 1994 and regulations 13 and 14 of the Value Added Tax Regulations 1995 – whether input tax correctly disallowed – yes – appeal dismissed Citations: [2021] UKFTT 39 (TC) Links: Bailii Jurisdiction: England and Wales VAT Updated: 30 … Continue reading Knightsbridge Accountants Ltd v Revenue and Customs (VAT – Assessment To Recover Disallowed Input Tax): FTTTx 9 Feb 2021
INCOME TAX/VALUE ADDED TAX – whether Appellant had undeclared trading income – time limit for issuing discovery assessment – whether Appellant’s VAT returns were inaccurate – whether Appellant liable for penalty for failure to file self-assessment tax returns – s 93 Taxes Management Act 1970 – whether Appellant’s conduct dishonest/deliberate – s 60 Value Added … Continue reading Qolaminejite v Revenue and Customs (Income Tax/Value Added Tax – Undeclared Trading Income): FTTTx 2 Dec 2019
Judges: Tuckey LJ, Arden LJ, Lloyd LJ Citations: [2006] EWCA Civ 1572 Links: Bailii Statutes: Value Added Tax Act 1994 60 Jurisdiction: England and Wales VAT Updated: 19 November 2022; Ref: scu.246375
VALUE ADDED TAX – Input Tax – invoice from an associated business to another business – same owner and sole director – whether a supply and a continuous supply – yes- amounts incurred in connection with a residential property – whether de minimus reclaim allowable – yes. Value Added Tax Act 1994, sections 24, 25, … Continue reading Computational Structural Mechanics Ltd v Revenue and Customs (VAT – Input Tax : Other): FTTTx 8 Mar 2019
Judges: Sir Geoffrey Charles Vos Ch, Underhill, David Richards LJJ Citations: [2016] EWCA Civ 1180, [2017] STC 696, [2016] BTC 44, [2017] 1 CMLR 37 Links: Bailii Statutes: Value Added Tax Act 1994 94 Jurisdiction: England and Wales Citing: At ChD – The Test Claimants In The FII Group Litigation v The Commissioners of Inland … Continue reading Franked Investment Income Group Litigation, The Test Claimants In v Revenue and Customs: CA 24 Nov 2016
Zero-rating – supply to handicapped person – Appellant designed and assembled decking to provide access – whether supply of component materials is zero-rated – Group 12, Sch 8, Value Added Tax Act 1994 Citations: [2009] UKFTT 322 (TC) Links: Bailii Jurisdiction: England and Wales VAT Updated: 15 September 2022; Ref: scu.409098
Judges: Mummery LJ, Scot Baker LJ, Sir Charles Mantell Citations: [2006] EWCA Civ 730, [2006] BTC 5499, [2006] STI 1622, [2006] BVC 569, [2006] STC 1999 Links: Bailii Statutes: Value Added Tax Act 1994 Jurisdiction: England and Wales VAT Updated: 07 September 2022; Ref: scu.242409
The claimant sought to appeal against refusal of relief from payment of sums assessed by way of penalty, on the basis of hardship. HMRC argued that the right of appeal underthe 2007 Act had been taken away by the 1994 Act. Judges: Simon J Citations: [2012] QB 358, [2011] BVC 211, [2012] 2 WLR 435, … Continue reading Totel Ltd, Regina (on The Application of) v The First Tier Tribunal (Tax Chamber) and Others: Admn 24 Mar 2011
The College had decided to demolish and rebuild its library. It elected to waive exemption to VAT so as to recover the VAT on its rebuilding costs. It had set up and funded an independent company to carry out the works, granting it a lease of the site. It appealed a decision of the tribunal … Continue reading Newnham College Cambridge v Revenue and Customs: CA 24 Mar 2006
VDT VAT – input tax – alleged carousel fraud – Commissioners unable to establish circulation of payment without tribunal inferring that certain payments had been made to particular party in chain of transactions – tribunal unwilling to make necessary inferences – appeal allowed without tribunal hearing any evidence. Citations: [2005] UKVAT V18956 Links: Bailii Jurisdiction: … Continue reading Totel Distribution Ltd v Customs and Excise: VDT 24 Feb 2005
VAT – burden of proof on appellant where assessment on grounds of abuse – transfer of training business to non-profit making company (‘newco’) which claimed VAT exemption – commercial and economic reality – contracts ignored – whether abuse of rights under Halifax plc (C-255/02) – yes – supply not made by newco and therefore not … Continue reading Snow Factor Ltd, Snow Factor Training Ltd v Revenue and Customs (VAT – Burden of Proof On Appellant): FTTTx 31 Oct 2019
Vat – Reduced Rates : Other Citations: [2018] UKFTT 28 (TC) Links: Bailii Jurisdiction: England and Wales Cited by: Appeal from – Snow Factor Ltd v Revenue and Customs UTTC 8-Mar-2019 Value Added Tax – Application Under Section 85B of Vata 1994 . .See Also – Snow Factor Ltd, Snow Factor Training Ltd v Revenue … Continue reading Snow Factor Ltd v Revenue and Customs: FTTTx 24 Jan 2018
Value Added Tax – Application Under Section 85B of Vata 1994 Citations: [2019] UKUT 77 (TCC) Links: Bailii Jurisdiction: England and Wales Citing: Appeal from – Snow Factor Ltd v Revenue and Customs FTTTx 24-Jan-2018 Vat – Reduced Rates : Other . . Lists of cited by and citing cases may be incomplete. VAT Updated: … Continue reading Snow Factor Ltd v Revenue and Customs: UTTC 8 Mar 2019
VDT DEFAULT SURCHARGE – Reasonable excuse – Cheque wrongly made out – Genuine mistake – Not a reasonable excuse – VATA 1994 s71(1)(b) – Appeal dismissed Citations: [2004] UKVAT V18615 Links: Bailii Statutes: Value Added Taxes Act 1994 71(1)(b) VAT Updated: 11 June 2022; Ref: scu.199124
UTTC VALUE ADDED TAX – Zero-rating – Whether product zero-rated as food or standard-rated as beverage – Value Added Tax Act 1994, Schedule 8, Group 1, excepted item 4. Citations: [2011] UKUT 432 (TCC) Links: Bailii Jurisdiction: England and Wales VAT Updated: 03 June 2022; Ref: scu.449957
(Vat – Builders : Do -It-Yourself) VALUE ADDED TAX – DIY Housebuilders Scheme – construction of new build house – whether designed as a dwelling for purposes of subsection (35)(1A)(a) and Note (2)(c) to Group 5 of Schedule 8 to VAT Act 1994 – whether Section 75 agreement amounted to a prohibition – yes – … Continue reading Redman v Revenue and Customs: FTTTx 24 Feb 2017
FTTTx VAT – Repayment claim – Whether submitted within four year time limit under s 80 Value Added Tax Act 1994 – No – Appeal dismissed [2015] UKFTT 613 (TC) Bailii England and Wales VAT Updated: 07 January 2022; Ref: scu.556393
UTTC VALUE ADDED TAX – input tax – DIY Builders Scheme – construction of dwelling as equestrian facilities managers residence – whether designed as a dwelling for purposes of Group 8 of Schedule 5 VAT Act 1994 – whether description in planning application as equestrian facilities managers residence prohibited separate use of dwelling – no … Continue reading Revenue and Customs v Shields: UTTC 24 Oct 2014
VALUE ADDED TAX – decision on one issue in the appeals (interest) – amounts paid by HMRC to appellants as bad debt relief under section 36 Value Added Tax Act 1994 – whether interest should be paid on such amounts by HMRC from date of entitlement . .
The appellant had requested a hardship allowance so as not to have to pay claimed VAT before the hearing of an appeal. That was refused, and the claimant now said that the rules restricting an appeal against such a refusal were unlawful.
Held: . .
Valued Added Tax – Default surcharge – Return and payment sent ten days late – Director and her husband went on holiday and did not submit Return and payment until after holiday until they checked on sufficient funds – whether reasonable excuse – . .
References: [2014] UKUT 453 (TCC) Links: Bailii UTTC Ratio VALUE ADDED TAX – input tax – DIY Builders Scheme – construction of dwelling as equestrian facilities managers residence – whether designed as a dwelling for purposes of Group 8 of Schedule 5 VAT Act 1994 – whether description in planning application as equestrian facilities managers … Continue reading Revenue and Customs v Shields; UTTC 24 Oct 2014
References: [2011] UKUT 432 (TCC) Links: Bailii UTTC VALUE ADDED TAX – Zero-rating – Whether product zero-rated as food or standard-rated as beverage – Value Added Tax Act 1994, Schedule 8, Group 1, excepted item 4.
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VDT VALUE ADDED TAX – Input tax – Whether sums paid by Director of company defending a claim against him in his private capacity are properly incurred for the purposes of the business – s.24 Value Added Tax Act 1994 – Appeal dismissed Citations: [2009] UKVAT V20973 Links: Bailii Statutes: Value Added Tax Act 1994 … Continue reading Zenith Publishing Ltd v Revenue and Customs: VDT 13 Mar 2009
The court was asked whether the appellant, Airtours Holidays Transport Ltd (formerly MyTravel Group plc), was entitled to recover, by way of input tax VAT charged by PricewaterhouseCoopers LLP in respect of services provided by PwC and paid for by Airtours. Held: The appeal was dismissed (Clarke and Carnwath LL dissenting) For the VAT to … Continue reading Airtours Holidays Transport Ltd v Revenue and Customs: SC 11 May 2016
The charity appealed against refusal to allow it to reclaim input VAT. It also sought judicial review of the decision of the Tribunal not to allow it to raise an argument of legitimate expectation. The charity had various subsidiaries conducting commercial activities, which paid VAT in its supplies. The parties disputed how input taxes were … Continue reading Oxfam v Revenue and Customs: ChD 27 Nov 2009
FTTTx VAT – appeal against the penalty imposed for failure to submit an EC Sales List by the due date- appellant did not receive penalty notice in accordance with Section 66(2) and (3) of the Value Added Tax Act 1994 – appeal allowed Citations: [2013] UKFTT 243 (TC) Links: Bailii Statutes: Value Added Tax Act … Continue reading ETP Card Processing Ltd v Revenue and Customs: FTTTx 18 Apr 2013
VALUE ADDED TAX – Exemptions – Education – Company in the business of providing educational courses to fee-paying students – Recognition Agreement between company and university – Whether supply of educational courses by company exempt – Whether educational courses supplied by eligible body – Whether company a college of a university – Value Added Tax … Continue reading HiBT Ltd v Revenue and Customs: VDT 17 Jan 2007
VALUE ADDED TAX – DIY Housebuilders’ Scheme – Retrospective Planning Permission obtained after claim for VAT refund submitted -whether work lawful – whether building designed as a dwelling – whether claim valid – Section 35 Value Added Tax Act 1994 – Note 2 of Group 5 in Schedule 8 to Value Added Tax Act 1994 … Continue reading Long and Another v Revenue and Customs: FTTTx 28 Jan 2021
PROCEDURE – application for permission to notify appeal out of time – section 83G of the Value Added Tax Act 1994 – Martland applied – principle of legal certainty -application refused Citations: [2019] UKFTT 739 (TC) Links: Bailii Jurisdiction: England and Wales VAT Updated: 24 November 2022; Ref: scu.646932
The taxpayer appealed a decision that a conversion of a non-residential part of a building used for business and residential purposes was not exempt from VAT. Held: The building was not within the definition of a self contained residential building. If separate parts could be buildings, no part would satisfy the definition of a building … Continue reading Commissioners of Customs and Excise v Blom-Cooper: CA 4 Apr 2003
FTTTx VAT – exemption for games of chance – whether it applies to ‘Spot the Ball’ – whether ‘Spot the Ball’ is a ‘game’ – held yes – whether it is a ‘game of chance’ – held yes -exemption from VAT under group 4, Schedule 9 Value Added Tax Act 1994 and predecessor provisions therefore … Continue reading The’Spotting The Ball’ Partnership and Others v Revenue and Customs: FTTTx 5 Mar 2013
FTTTX VAT – assessment – VATA 1994 section 73 – best judgement – appeal dismissed Citations: [2013] UKFTT 49 (TC) Links: Bailii Statutes: Value Added Tax Act 1994 73 Jurisdiction: England and Wales VAT Updated: 14 November 2022; Ref: scu.472322
Value Added Tax – Value Added Tax Act 1994, Sections 59 and 71 – default surcharge – whether there was a reasonable excuse – delay in making payment by employed cashier -Appeal dismissed. Citations: [2011] UKFTT 240 (TC) Links: Bailii Jurisdiction: England and Wales VAT Updated: 13 November 2022; Ref: scu.442990
The Orchestra apealed a finding that it was not entitled to exemption from VAT as a supply by an eligible body of a cultural performance. The taxpayer’s board was voluntary, but the management was employed. Held: The appeal failed. In order to decide whether the condition allowing exemption was satisfied, the court had to identify … Continue reading Bournemouth Symphony Orchestra v Revenue and Customs: CA 9 Oct 2006
PROCEDURE – Appeal withdrawn – Late application for reinstatement – Whether power to reinstate under rule 17 Tribunal Procedure (First-tier Tribunal) (Tax Chamber) Rules 2009 precluded by s 85(4) Value Added Tax Act 1994 – Yes – OWD Ltd (t/a Birmingham Cash and Carry) v HMRC [2018] UKFTT 497 (TC) applied Citations: [2018] UKFTT 563 … Continue reading Libby’s Market Place Ltd v Revenue and Customs (Procedure : Other): FTTTx 28 Sep 2018
VDT VALUE ADDED TAX – import VAT – Simplified Import VAT Accounting (‘SIVA’) – trader authorised to defer payment with nil security – default in accounting for domestic VAT – whether sufficient without more to justify revocation of nil security requirement – criteria to be considered – whether trader representing risk to the revenue – … Continue reading Martin Yaffe International Ltd v Revenue and Customs: VDT 14 Jul 2005
The Revenue appealed against an order allowing the taxpayer retrospective entry into the Flat-Rate Scheme allowed under the section. Citations: [2010] BVC 563, [2009] EWHC 2587 (Ch) Links: Bailii Statutes: Value Added Tax Act 1994 26B Jurisdiction: England and Wales VAT Updated: 19 October 2022; Ref: scu.424104
VAT – Notice of Assessment – Appellant contractor – underdeclaration of output tax revealed upon investigation – Notice of Assessment – taxpayer claims use of sub-contractors to whom payments made – payments in cash – invoices produced – irregularities in form – absence of receipts – absence of other proofs of payment – Appellant claims … Continue reading Sloan v Revenue and Customs: FTTTx 18 Nov 2009
Vat – Lease Rental Invoices – whether the requirements of s 24 of the Value Added Tax Act 1994 and reg. 111 of the Value Added Tax Regulations 1995 were met – no – whether the Appellant held a valid VAT invoice which entitled it to claim input tax – no — appeal dismissed Citations: … Continue reading Star Services Oxford Ltd v Revenue and Customs: FTTTx 22 Aug 2022
When offering courses to distance learning students, the College offered materials for the courses. As part of the course this supply would be exempt, as books, the supply would be zero-rated, but the taxpayer would be able to reclaim its VAT inputs. Held: ‘There clearly was a separate supply of goods, namely the printed material … Continue reading College of Estate Management v Commissioners of Customs and Excise: CA 11 Aug 2004
Judges: Lord Justice Evans Citations: [2004] EWHC 2490 (Ch) Links: Bailii Statutes: Value Added Tax Act 1994 Jurisdiction: England and Wales VAT Updated: 01 September 2022; Ref: scu.219320
VAT – penalty – whether community amateur sports club had a reasonable excuse for issuing a zero-rating certificate in respect of the construction of a cricket pavilion – Section 62 Value Added Tax Act 1994 Citations: [2021] UKUT 23 (TCC) Links: Bailii Jurisdiction: England and Wales VAT Updated: 24 August 2022; Ref: scu.658641
FTTTx VAT – assessment – sale of land – option effective – automatic permission – yes – output tax payable. Citations: [2010] UKFTT 5 (TC) Links: Bailii Statutes: Value Added Tax Act 1994 Jurisdiction: England and Wales VAT Updated: 17 August 2022; Ref: scu.408909
VALUE ADDED TAX – Zero-rating – Value Added Tax Act 1994, Sch 8, Group 5, Building works – Supply of services in the course of construction of a new synagogue in garden of old synagogue and house next door – Whether zero-rated? – Held yes – Appeal allowed Citations: [2006] UKVAT V19625 Links: Bailii Jurisdiction: … Continue reading Kahal Imrei Chaim Ltd v Revenue and Customs: VDT 15 Jun 2006
REPAYMENT SUPPLEMENT – Time limit for repayment – Delay due to Commissioners’ inquiry – Calculation of period of inquiry – Finance Act 1994 s.79(4) – Value Added Tax General Regulations 1995 regs 198 and 199 Citations: [2003] UKVAT V18243 Links: Bailii Jurisdiction: England and Wales VAT Updated: 09 August 2022; Ref: scu.221209
Appeal against termination of special exemption method. Held: The taxpayer’s appeal was dismissed. The VAT tribunal’s jurisdiction was unlimited. No limitation was implied by the wording of the section. The tribunal’s discretion had only to be exercised so as to achieve the statutory objective, There was nothing to exclude the jurisdiction of the tribunal to … Continue reading Banbury Visionplus Ltd v HM Revenue and Customs: ChD 9 May 2006
FTTTx VALUE ADDED TAX – assessments – best judgment – examination of till records – programming of till – whether transactions fully reflected in VAT returns – evidence showing omission of transactions from main records – assessments confirmed – penalties under s 60 VATA 1994 and Sch 24 FA 2007 also confirmed – appeals dismissed … Continue reading Serla Ltd v Revenue and Customs: FTTTx 25 Jun 2014
The taxpayer had imported a newly built Dutch Barge. The Revenue appealed a decision that VAT was not payable on that import. He had claimed exemption on the basis that it was a ship exceeding 15 tons and not designed or adapted for leisure use. Held: The appeal failed. ‘the Kei was designed and constructed … Continue reading HM Revenue and Customs v Lt Cmdr Colin Stone; The Kei: ChD 5 Jun 2008
VAT – DIY BUILDERS SCHEME – Appellant converted a music room into a semi-detached three bedroom dwelling – the music room had previously been a forge comprised within a converted stable block – section 106 agreement preventing the separate disposal of the three bedroom house – the conversion did not meet the requirements of a … Continue reading Collins v Revenue and Customs: VDT 27 Apr 2006
EXEMPTION – leaseholds – waiver – legality of lease – Value Added Tax Act 1994 Schedule 9 Group 1, Item 1, Schedule 10 paras 2 and 3 – appeal dismissed Citations: [2006] UKVAT V19521 Links: Bailii Jurisdiction: England and Wales VAT Updated: 18 July 2022; Ref: scu.240278
The taxpayer discovered that it had over several years made overpayments of VAT on chocolate covered biscuits because of a mistake as to the tax mutual with the defendants. Held: MandS’s challenge to section 80(4) (as infringing EU law) failed, as regards the teacakes claim, because the Becker conditions were not satisfied (Becker v Finanzamt … Continue reading Marks and Spencer Plc v Customs and Excise: CA 14 Dec 1999
Value Added Tax – Recovery of input tax – Apportionment – Business and non-business activity – S.24 and 26 Value Added Tax Act 1994 – Appeal dismissed Citations: [2005] UKVAT V19016 Links: Bailii Jurisdiction: England and Wales VAT Updated: 15 July 2022; Ref: scu.225156
VDT VAT – AVOIDANCE – Abuse of rights – Appellant associate of exempt trader purchasing assets to lease to separate company to lease on to exempt trader – Associate outside VAT group – Associate credited with input tax on purchases – Insertion of separate company avoided direction under VATA 1994 Sch 6 para 1 – … Continue reading Weald Leasing Ltd v Revenue and Customs: VDT 6 Feb 2007
The defendants suspected a carousel VAT fraud. The defendants appealed a finding that there was a viable cause of action alleging a ‘conspiracy where the unlawful means alleged is a common law offence of cheating the public revenue’. The defendants argued (inter alia) that the attempted recovery was void under the Billl of Rights. Held: … Continue reading Total Network Sl v Customs and Excise Commissioners: CA 31 Jan 2007
VDT Value Added Tax; Registration; partnership; jurisidiction; appeal by individual asserting that she was not a partner; Value Added Tax Act 1994 section 83(a) Citations: [2004] UKVAT V18482 Links: Bailii Jurisdiction: England and Wales VAT Updated: 09 July 2022; Ref: scu.247584
VDT VALUE ADDED TAX – INPUT TAX – vouchers (pre 8 April 2003) – sold at less than face value – VAT Act 1994 Sch 6 para 5 – no output tax – input tax deduction by vendor on overheads recoverable? – yes – appeal allowed. Citations: [2006] UKVAT V19681 Links: Bailii VAT Updated: 07 … Continue reading First National Telecom Services Ltd v Revenue and Customs: VDT 3 Aug 2006
Time limits for reclaim of VAT. The Court considered an argument that it should treat the Court of Appeal decision in Fleming (t/a Bodycraft) v Customs and Excise Commissioners [2006] STC 864 as inconsistent with EU law. Held: Chadwick LJ said: ‘I am content to assume that there may be circumstances in which the obligation … Continue reading Conde Nast Publications Ltd v Revenue and Customs: CA 11 Jul 2006
VDT VALUE ADDED TAX – input tax – suspected carousel or MTIC fraud – input tax repayment withheld pending ECJ judgment in Optigen and others – input tax paid with repayment supplement shortly after release of judgment – whether interest payable in addition – yes – whether rate of interest to be abated because of … Continue reading Totel Ltd v Revenue Customs: VDT 19 May 2006
Consultancy services had been carried out in the UK for the UK brancjh of a Swiss coimpany. The contract was made in Switzerland, and the VAT invoice was issued there also. Held: The UK branch of the company was liable for VAT. Judges: Park J Citations: [2006] EWHC 593 (Ch), Times 26-Apr-2006 Links: Bailii Statutes: … Continue reading Revenue and Customs v Zurich Insurance Company: ChD 23 Mar 2006
VALUE ADDED TAX – input tax – promotional scheme – manufacturer and distributor of domestic heating appliances awarding points to installers purchasing its appliances – points redeemable for gifts listed in catalogue -scheme run by marketing company which acquired and distributed the gifts – whether VAT included in marketing company’s invoices to Appellant recoverable input … Continue reading Baxi Group Ltd v Revenue and Customs: VDT 20 Jan 2006
VDT Value added tax – input tax – business purpose – whether input tax on car registration number purchased from the Driver and Vehicle Licensing Agency recoverable – Value Added Tax Act 1994, section 24 – decision on the facts – yes Citations: [2005] UKVAT V19276 Links: Bailii VAT Updated: 04 July 2022; Ref: scu.238005
Citations: [2005] EWHC 2414 (Ch) Links: Bailii Statutes: Value Added Tax Act 1994 Jurisdiction: England and Wales VAT Updated: 04 July 2022; Ref: scu.234712
VDT VALUE ADDED TAX – input tax – the Appellant operates the Nectar programme under which customers who purchase goods (called primary goods) from certain retailers receive points which they may use to acquire goods (called secondary goods) from other suppliers – the Appellant pays the supplier for the secondary goods – whether, when a … Continue reading Loyalty Management UK Ltd v Customs and Excise: VDT 6 Apr 2005
VDT VALUE ADDED TAX – input tax -Appellant made exempt supplies of finance (the sale of securities) outside the member states with a right to recovery of input tax (specified supplies) as well as taxable and exempt supplies – no goods or services supplied to the Appellant were used exclusively in making specified supplies – … Continue reading National Provident Institution v Customs and Excise: VDT 18 Feb 2005
The taxpayer had made a considered decision not to deduct certain input VAT claims against its payments made over a long period of time up to 1996. They later concluded that they should have made the deductions, and claimed them. The Commissioners asserted that the claims were now statute barred. Held: If the claim had … Continue reading University of Sussex v Commissioners of Customs and Excise: ChD 10 Oct 2001
The taxpayers had challenged an assessment to VAT saying that they were not actually partners in the company assessed. The revenue countered to say that they had signed the registration form to say that they were partners. The revenue now appealed a decision in the taxpayers’ favour. Held: The appeal failed. The partners were partners … Continue reading Revenue and Customs Commissioners v Pal and Others: ChD 31 Jul 2006
VALUE ADDED TAX – Claims for Input Tax – Vehicles – Fuel Charge – Miscellaneous – Sections 24 and 56 Value Added Tax Act 1994 – whether expenditure allowable as input tax – whether qualifying motor cars – Article 7, VAT (Input Tax) Order 1992 – Appeal dismissed. Citations: [2012] UKFTT 64 (TC) Links: Bailii … Continue reading King v Revenue and Customs: FTTTx 19 Jan 2012
VDT VALUE ADDED TAX – Assessment in default of proper returns by the taxpayer – Allegation by Commissioners that Appellant incorrectly apportioned supplies and suppressed takings – Assessment to the Commissioners best judgment – Value Added Tax Act 1994, s.73(1) – Appeal dismissedCIVIL EVASION PENALTY – Evasion of tax – Conduct involving dishonesty – Value … Continue reading Khaira (T/A Tony Fish Bar) v Revenue and Customs: VDT 6 Apr 2006
The taxpayers said that the Commissioners’ assessment to VAT was out of time, and appealed a finding that it was not. They said that time should run from the point at which the Commissioners knew the facts upon which the assessment was based. The Commissioners argued that time could not begin to run until the … Continue reading DFS Furniture Company Plc v Commissioners of Customs and Excise: CA 16 Mar 2004
The commissioners sought to charge to VAT charges for works which had been carried out to a building within the curtilage of a listed building. The taxpayer sought zero-rating. Held: The outbuilding to which alterations were made must have been a ‘protected building’. Note (1) defines a protected building as both ‘a building which is … Continue reading Her Majesty’s Commissioners of Customs and Excise v Zielinski Baker and Partners Limited: HL 26 Feb 2004
FTTTx Appeal against HMRC’s decision that the Appellant’s building supplies were standard rated and not zero-rated because at the time the relevant supplies were made the building did not comply with the condition in Note 2(d) to Group 5 of Schedule 8 of the Value Added Tax Act 1994 case dismissed Citations: [2011] UKFTT 150 … Continue reading Abbeytrust Homes Ltd v Revenue and Customs: FTTTx 2 Mar 2011
The Commissioners appealed an order reinstating the registration of the respondents for VAT. The respondents made largely exempt supplies. They were members of a group of companies, each trading similarly. They had sought an alteration from group registration to individual registrations. Such registrations were voluntary because their vatable turnover would be below the limits. The … Continue reading Commissioners of Customs and Excise v Eastwood Care Homes (Ilkeston) Ltd and Others: ChD 8 Nov 2001
Appeal against finding of underdeclaration of turnover. Judges: Lewson J Citations: [2006] EWHC 1262 (Ch) Links: Bailii Statutes: Value Added Tax Act 1994 73 Jurisdiction: England and Wales VAT Updated: 02 June 2022; Ref: scu.242412
VAT – DIY BUILDERS SCHEME – Appellant constructed a bungalow at the rear of her home for use as self-contained accommodation for her elderly mother – planning permission prohibited the separate use and independent disposal of the bungalow – the bungalow did not meet the requirement of a building designed as a dwelling (Note 2 … Continue reading Milligan v Revenue and Customs: VDT 2 Sep 2005
The transitional rules introducing time limits for failing to deduct VAT inputs made insufficient allowance for the decisions in Marks and Spencer and Grundig. Held: Lord Hope said: ‘To be compatible with EU law, taxpayers were entitled to be told in advance of any transitional arrangements that would enable them to submit late accrued claims … Continue reading Fleming (T/A Bodycraft) v Revenue and Customs: HL 23 Jan 2008
Trustees who managed a group of apartments argued that they did not themselves provide staff services to the tenants, but rather arranged for the staff to provide services to them. Held: The contract providing cleaning and other services, by a maintenance fund for a block of flats, was a VATable supply by the Trustees who … Continue reading Nell Gwynn House Maintenance Fund v Commissioners of Customs and Excise: HL 15 Dec 1998
The taxpayers prepared clothing which was designed for children in that it followed the typical shapes of children. The Commissioners disallowed the exemption from VAT on the basis of the application of their simple rule which divided clothing according to the height of the intended wearer. Held: The approach of the Commissioners and of the … Continue reading H and M Hennes Ltd v Customs and Excise: ChD 22 Apr 2005
The taxpayers awarded gift vouchers to motorists purchasing fuel. They sought to deduct against their liability for VAT the cost of purchasing the vouchers. Held: The taxpayer’s appeal succeeded. The court did not find the decision in Kuwait petroleum persuasive. Judges: Sir Andrew Park Citations: Times 08-Dec-2006 Statutes: Value Added Tax Act 1994 2 19 … Continue reading Total UK Ltd v Revenue and Customs Commissioners: ChD 3 Nov 2006
Income Tax, Vat and Penalties – Discovery Assessment and Closure Notice – ss 28 and 29 and 34 of Taxes Management Act 1970 – capital allowances and revenue expenditure and loss relief claims – expenditure to construct a sports complex and house renovation – whether there was a ‘trade’ being carried on for income tax … Continue reading Wildin v Revenue and Customs: FTTTx 3 Feb 2022
Zero Rating; first grant by a person constructing a building intended for use solely for a relevant charitable purpose; whether lease by company established by housing association to obtain funding a supply within section 30 and Schedule 8 Group 5 Item 1(a)(ii) of the Value Added Tax Act 1994; yes Citations: [2006] UKVAT V19906 Links: … Continue reading Ardenglen Developments Ltd v Revenue and Customs: VDT 22 Nov 2006
Cost of rebuilding may be apportioned according to intended business use. Citations: Ind Summary 19-Jun-1995 Statutes: Value Added Tax Act 1994 33(1) Jurisdiction: England and Wales VAT Updated: 08 April 2022; Ref: scu.81240
Company selling cards giving discount provided vateable service – not prepayment. Citations: Ind Summary 30-May-1995 Statutes: Value Added Tax Act 1994 Sch 6 grp 5 Jurisdiction: England and Wales VAT Updated: 08 April 2022; Ref: scu.79724
The appellant had applied for and been refused disability living allowance on the basis of being able to carry out certain cooking tasks. Held: The purpose of the ‘cooking test’ is not to ascertain whether the applicant can survive, or enjoy a reasonable diet, without assistance. It is a notional test, a thought-experiment, to calibrate … Continue reading Moyna v Secretary of State for Work and Pensions: HL 31 Jul 2003
The taxpayer sold double glazing, supported by an insured guarantee, for which a charge was made. The additional charge was exempt, but it was contended that the contract should have stated the amount pursuant to Note 5. Held: The contract gave the rate of charge at 10 per cent. The Act allowed the commisioners to … Continue reading C R Smith Glaziers (Dunfermline) Limited v Commissioners of Customs and Excise: HL 20 Feb 2003
FTTTx (Vat – Supply : Other) VALUE ADDED TAX – Assessments to VAT and HMRC ruling – Discounts paid by Brewers to a company in respect of its own and other publicans’ aggregation of their purchases of beverages – Aggregation used to obtain discounts not disclosed to other publicans – whether a supply by the … Continue reading Redwood Birkhill Ltd v Revenue and Customs: FTTTx 17 Mar 2017
Discovery assessments – section 29 Taxes Management Act 1970 – Best Judgement VAT assessments – section 73 Value Added Tax Act 1994 – penalties – Schedule 24 Finance Act 2007 Citations: [2020] UKFTT 221 (TC) Links: Bailii Jurisdiction: England and Wales VAT Updated: 30 January 2022; Ref: scu.651603
FTTTx Vat – Zero-Rating : Transport – transport of passengers – whether supply of yacht and skipper related to the transport of passengers within item 4(a) of Group 8, Schedule 8 Value Added Tax Act 1994 – yes [2016] UKFTT 684 (TC) Bailii England and Wales VAT Updated: 24 January 2022; Ref: scu.570574
FTTTx Vat – Assessments : Other – option to tax – apportionment – disused public house and flat – Schedule 10 to the Value Added Tax Act 1994 – Notice 700/57 – appeal against an apportionment of 90% to commercial and 10% to residential – appeal allowed – substitute apportionment of two thirds commercial and … Continue reading Matthews and Another v Revenue and Customs: FTTTx 18 Oct 2016
UTTC Value Added Tax – supplies of commercial waste collection services by Local Authorities – section 45(1)(b) Environmental Protection Act 2009 and section 41A Value Added Tax Act 1994 – whether supplies within VAT – judicial review of HMRC failure to collect VAT on supplies – preliminary issue – supplies within section 45(1)(b) not taxable … Continue reading The Durham Company Ltd (T/A Max Recycle) v Revenue and Customs and Another: UTTC 19 Sep 2016
Claim to recover compound interest on overpayments of VAT to HMRC. Lord Neuberger MR, Longmore, Etherton LJJ [2011] EWCA Civ 429, [2011] BVC 246, [2011] STC 1371, [2011] STI 1441 Bailii Value Added Tax Act 1994 78 England and Wales VAT Updated: 18 January 2022; Ref: scu.443299
FTTTx VAT – Default Surcharge; proportionality; Value Added Tax 1994 s59, penalties for inaccuracies in VAT returns; Finance Act 2007, Schedule 24; appeal allowed in part [2016] UKFTT 310 TC Bailii England and Wales VAT Updated: 16 January 2022; Ref: scu.564365
UTTC VALUE ADDED TAX – zero rating – Item 2 and Notes 16 and 18 Group 5 Schedule 8 VAT Act 1994 – supplies in course of construction following demolition of building except for part of facade – whether retention of facade condition of planning consent or similar permission – no – whether part of … Continue reading Boxmoor Construction Ltd v Revenue and Customs: UTTC 22 Feb 2016
FTTTx VAT – DIY Builders Scheme – Section 35 Value Added Tax Act 1994 – Inaccurate claim – Administrative error by Appellant’s representatives – Incorrectly completed form sent by his accountants to the Appellant for signature – Adjustments made by HMRC – Penalty applied – Schedule 24 Finance Act 2007 – Whether the appellant took … Continue reading Coates v Revenue and Customs: FTTTx 16 Sep 2015
FTTTx Value Added Tax : Diy Builders Scheme – VALUE ADDED TAX D DIY Builders scheme D s 35 VATA 1994 D claim withdrawn because HMRC evidence requirements could not be met D Penalty under Schedule 24 Finance Act 2007 D whether inaccuracy in document caused by failure to take reasonable care D No, because … Continue reading Howells and Another v Revenue and Customs: FTTTx 10 Aug 2015
FTTTx VAT – Onward sale of vouchers issued by retailers – Claim for recovery of input tax dismissed by Tribunal which also held output tax due on ‘subsequent’ sale of vouchers – Parties directed to ‘use best endeavours’ to determine proportion of vouches to be standard-rated – Application to Tribunal in absence of Agreement – … Continue reading Nagle and Another (T/A Simon Templar Business Center) v Revenue and Customs (VAT – Supply : Other): FTTTx 31 Jul 2015
FTTTx Value Added Tax – Purchase of Apple iPhones by Appellant through 80 employees who bought small quantities from Apple retail stores either in their own individual names or more usually in false names or without giving any name, and never openly on behalf of the Appellant – Effect of section 47(2A) VAT Act 1994 … Continue reading Scandico Ltd v Revenue and Customs: FTTTx 26 Jan 2015
FTTTx VAT – default surcharge – whether reasonable excuse – section 59(7) Value Added Tax Act 1994 -appellant designs and organises manufacture of garments to clothing retailers – financial difficulties caused variously by major customer changing terms of business, and defective product run – appeal allowed in part [2014] UKFTT 1093 (TC) Bailii England and … Continue reading Playful Promises Ltd v Revenue and Customs: FTTTx 12 Dec 2014
What are the requirements for a ‘claim’ for an amount of overpaid VAT for the purposes of section 80 of the Value Added Tax Act 1994 Lord Justice Floyd [2018] EWCA Civ 1106, [2019] 1 All ER 729, [2018] BVC 24, [2019] 1 WLR 165, [2018] STC 1404, [2018] STI 1112 Bailii Value Added Tax … Continue reading Bratt Autoservices Company Ltd v Hm Revenue and Customs: CA 18 May 2018
