VAT Cases

Summaries of interesting VAT cases for the SME owner.

In Neil Edgell v HMRC [2018] TC 6853 HMRC was successful in catching an eBay trader, assessing him for VAT back to 2008. Assessments were found to be both within time and made best of its judgement despite the difficulties for both parties in extracting information from the online platform.

In Marlow Rowing Club [2018] TC 6803, a tribunal held that the club did not have reasonable excuse when it incorrectly issued a certificate for zero-rating a building for a charitable purpose. it had not taken adequate steps to contact HMRC over a decision that it knew was contrary to HMRC policy.

In All Answers Ltd v HMRC [2018] TC06845, the FTT held that there was no agency arrangement in an essay-writing service for students.

In Olive Garden Catering Ltd v HMRC [2018] TC06595, the FTT found that the appellant was providing separate supplies of food and services, but the services provided were standard rated catering services.

In J & B Hopkins Ltd [2018] UKUT 0382, a subcontractor was held liable for VAT on work to a contractor who did not have to charge VAT. The subcontractor could not later recover the VAT because the contractor had gone into liquidation.

In Bramall Contracts Limited & Others v HMRC [2018] TC06648, the FTT concluded that VAT had not been recovered on cars purchased for leasing and therefore the repayment claim for VAT on manufacturer bonuses were recoverable.

In Kinnerton Confectionery Limited v HMRC [2018] TC06548¸ the FTT decided that an allergen-free chocolate bar was standard rated as confectionary and was not food for VAT.