News

Recent First Tier Tax Tribunal decisions on VAT

posted 27 May 2011
category: First Tier Tax Tribunal

Network Euro Ltd (in liquidation) v Revenue & Customs [2011] UKFTT 255

MTIC fraud- connection to fraud admitted - whether appellant had knowledge or means of knowledge - yes to both - appeal dismissed.

http://www.bailii.org/uk/cases/UKFTT/TC/2011/TC01119.html

Dingle Clark v Revenue & Customs [2011] UKFTT 256

Default surcharge - reasonable excuse - cash payment of tax due made over the counter at Bank of England - handed over before the due date - whether received by due date - whether reasonable expectation it would be received by due date - appeal allowed.

http://www.bailii.org/uk/cases/UKFTT/TC/2011/TC01120.html

Sceptre Services v Revenue & Customs [2011] UKFTT 265 (TC)

Input tax – disallowance of input tax on basis MTIC fraud – appellant knew or ought to have known trade connected with fraud – whether legitimate expectation input tax would be repaid on basis due diligence said by HMRC to be adequate – no – appeal dismissed.

http://www.bailii.org/uk/cases/UKFTT/TC/2011/TC01127.html

3 Net Media Group v Revenue & Customs [2011] UKFTT 266 (TC)

Input tax – transfer of assets – whether transfer of going concern – yes – appeal dismissed.

http://www.bailii.org/uk/cases/UKFTT/TC/2011/TC01128.html

MTS Recovery & Repairs Ltd v Revenue & Customs [2011] UKFTT 274 (TC)

Penalties – VATA 1994, s59 and s71 – default surcharge - whether insufficiency of funds to pay tax amounted to a reasonable excuse – appeal dismissed.

http://www.bailii.org/uk/cases/UKFTT/TC/2011/TC01136.html

Mill Lane Engineering (Aldershot) Ltd v Revenue & Customs [2011] UKFTT 275 (TC)

Default surcharge – reasonable excuse – proportionality – appeal dismissed.

http://www.bailii.org/uk/cases/UKFTT/TC/2011/TC01137.html

Grattan Plc (No 2) v Revenue & Customs [2011] UKFTT 282 (TC)

Reference to CJEU – application for permission to appeal to Upper Tribunal – application for stay of order for reference pending determination.

http://www.bailii.org/uk/cases/UKFTT/TC/2011/TC01144.html

Sally Moher t/a Premier Dental Agency v Revenue & Customs [2011] UKFTT 286 (TC)

Supply of staff or services – supply of temporary dental staff –whether exempt under VATA 1994 Sch 7 Grp 7 – claim for repayment of output tax under VATA 1994 s80(1) - appeal dismissed.

http://www.bailii.org/uk/cases/UKFTT/TC/2011/TC01148.html

Hellesdon Leather and Cloth Company Ltd v Revenue & Customs [2011] UKFTT 292 (TC)

Input tax – claim to deduct as input tax the VAT charged on the supply of a motor car, business entertainment expenditure and expenditure on clothing and ‘meals/trips’ – the motor car was acquired with the intention that it would be used exclusively for the purposes of the appellant’s business but no legal or physical restraint was put on its use to prevent it being used for private use – the motor car was therefore made available for private use following Customs and Excise Commissioners v Upton (t/a Fagomatic) and the claim in respect of it failed pursuant to the VAT (Input Tax) Order 1992, para 7 – likewise the claim in respect of business entertainment expenditure failed pursuant to para 5 of the same Order – but the claims in respect of clothing and ‘meals/trips’ were allowed as being relative to goods or services used or to be used for the purposes of the appellant’s business – appeal allowed in part.

http://www.bailii.org/uk/cases/UKFTT/TC/2011/TC01154.html

Eastwell Manor Ltd v Revenue & Customs [2011] UKFTT 293 (TC)

Default surcharge - 15% penalty - whether reasonable excuse - no - penalty of £18,453 - whether disproportionate - on the facts, no - appeal dismissed.

http://www.bailii.org/uk/cases/UKFTT/TC/2011/TC01155.html

Ann Hood v Revenue & Customs [2011] UKFTT 294 (TC)

Supply – appellant carrying on business of interior design and sale of pianos- registers business for VAT but does not account for VAT on piano sales – whether appellant misled in telephone conversation with HMRC’s National Advice Service – jurisdiction of Tribunal to hear legitimate expectation claim – appeal dismissed.

http://www.bailii.org/uk/cases/UKFTT/TC/2011/TC01156.html

E & P Painting Contractors Ltd v Revenue & Customs [2011] UKFTT 296 (TC)

Default surcharge – returns and VAT payments late – whether cash flow problems constituted reasonable excuse – no – appeal dismissed.

http://www.bailii.org/uk/cases/UKFTT/TC/2011/TC01158.html

TPH Developments Ltd v Revenue & Customs [2011] UKFTT 297 (TC)

Appeals – application for an extension of time for appealing an assessment – exceptionally granted – whether attribution by HMRC of 25% of works carried out to a house as repairs or maintenance to preclude zero-rating treatment under VATA 1994 Sch 8 Grp 6 was unreasonable or wrong – held it was not – whether the construction of a separate building as a garage/study attracted zero-rated treatment under the same Group – whether the construction of a wall was an approved alteration to a protected building – appeal adjourned for further evidence – appeal dismissed in part.

http://www.bailii.org/uk/cases/UKFTT/TC/2011/TC01159.html

Irene Susan Jennings v Revenue & Customs [2011] UKFTT 298 (TC)

DIY housebuilders – reclaim of VAT on materials supplied – SP 01/07 – VATA 1994 s35 – VAT Regulations 1995 Reg 201 – adequacy of invoice – appeal allowed.

http://www.bailii.org/uk/cases/UKFTT/TC/2011/TC01160.html