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VAT Cases & News

Summaries of interesting VAT cases for the SME owner.

Free wine not free for VAT

Last Updated: 24 July 2019

In Marks and Spencers plc v HMRC [2018] TC06471, the First-Tribunal (FTT) found that the free wine in the 'dine in for £10' offer is not a gift and part of the cost of the deal must be standard rated.

Read more …

Student accommodation is still a dwelling for VAT

Last Updated: 08 June 2018

In HMRC v Summit Electrical Installations Limited [2018] UKUT 0176 (TCC), the Upper Tribunal (UT), dismissed HMRCs appeal, finding that student accommodation could still qualify as a dwelling despite planning restrictions on eligible tenants.

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A VAT update: May 2018

Last Updated: 21 September 2020

This note is for paid subscribers.

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Use of bain marie means food subject to VAT

Last Updated: 25 May 2018

In Pegasus (Manchester) Limited v HMRC [2018] TC06382, the First-Tier Tribunal (FTT) found that a bain marie was used to keep food above ambient temperature meaning it was considered hot food.

Read more …

eBay account with £278k turnover did not register for VAT

Last Updated: 17 January 2019

In P Kaur v HMRC [2016] TC06210, the First-Tier Tribunal upheld HMRC’s penalties, finding that Ms Kaur was subject to VAT on her eBay business and had failed to notify HMRC of her obligation to be registered.

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Directors liable for VAT failings

Last Updated: 11 May 2018

In S D Raithatha (As Liquidators of Halal Monitoring Committee Limited) v M N A Baig & Ors [2017] EWCH 2059 (Ch), the High Court found the Directors were personally liable for VAT debts due to a failure to register for, and charge, VAT.

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New college building should be zero-rated

Last Updated: 27 April 2018

In St Brendan’s Sixth Form College v HMRC [2018] TC06384, the First-Tier Tribunal (FTT) agreed with the taxpayer that a new block at the college was independent of the existing buildings and the construction costs were zero-rated.

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