VALUE ADDED TAX – input tax disallowance – Kittel – taxpayer ran ‘cash and carry’ alcohol business – small business – sold to hundreds of retailers – input tax denied on 81 purchases of alcohol from three suppliers over eleven months – taxpayer had been told by HMRC that others of its suppliers linked to ‘fraudulent defaulters’ – taxpayer’s checks on suppliers were formalistic, ‘tick box’ – only reasonable explanation of circumstances of purchases was that they were connected with fraudulent VAT evasion – it therefore should have known of the connection – appeal dismissed
Citations:
[2022] UKFTT 107 (TC)
Links:
Jurisdiction:
England and Wales
VAT
Updated: 12 May 2022; Ref: scu.675679