The taxpayer bought a car for her business and sought to set off the input tax.
Held: In order to be able to set off input tax in this way, it had to be his intention at the time when it was purchased, to use the vehicle exclusively for business purposes. In this case on the purchase, it had been insured also for private use, and that intention could not be established. The actual use made did not retrieve the situation.
Citations:
Times 27-May-2002, Gazette 30-May-2002, [2002] EWCA Civ 520
Links:
Statutes:
VAT (Input Tax) Order 1992 (SI 1992 No 3222) 7(2G)(b), VAT (Input Tax) (Amendment)(No 3) Order 1995 (SI 1995 No 1666)
Jurisdiction:
England and Wales
VAT
Updated: 06 June 2022; Ref: scu.171213