In Pertemps Limited v HMRC [2018] TC06583 the FTT concluded that a salary sacrifice scheme operated by the taxpayer amounted to a supply to its employees, however it was not an economic activity and therefore outside the scope of VAT. HMRC appealed to the Upper Tribunal who dismissed HMRC's appeal using different reasoning. See HMRC v Pertemps Ltd: [2019] UKUT 0234 (TCC)
VAT Cases & News
Summaries of interesting VAT cases for the SME owner.
HMRC’s VAT Brewers’ Society Agreement terminated on 1 June 2018. HMRC have not published any formal guidance following the withdrawal.
In NHS Lothian Health Board v HMRC [2018] UKUT 0218, the Upper Tribunal (UT) dismissed the health board’s appeal as the VAT reclaimed had not been quantified with sufficient precision.
In Edgbaston Golf Club Limited v HMRC [2018] TC06430, the First-Tier Tribunal (FTT) dismissed the golf club’s Fleming claim. It could not be said to have been made to HMRC on time as it was sent to the wrong email address.
In Bratt Autoservices Company Limited v HMRC [2018] EWCA Civ 1106, the Court of Appeal (CA) found that a VAT reclaim for overpaid output VAT must specify the VAT return period to which it relates in order to be valid.
In Curtises Limited v HMRC [2018] TC06460, the First-Tier Tribunal (FTT) upheld HMRC’s penalty calculation for failing to notify an under assessment of VAT, finding that payments made on account under the Annual Accounting scheme should be ignored in calculating Potential Lost revenue for penalty purposes.
In Glen Lyn Generations Limited & Exmoor Boat Cruises Limited v HMRC [2018] TC06596, the First-Tier Tribunal (FTT) concluded that the taxpayer did not have satisfactory reasons to fall within the exemption for filing VAT Returns online.