In Will Woodland v HMRC [2017] TC06021, the First-Tier Tribunal (FTT) agreed with the partial exemption method used by the charity: based on the way in which the land was used, an area basis.
VAT Cases & News
Summaries of interesting VAT cases for the SME owner.
In HMRC v Greenisland Football Club [2018] UKUT 0440, the upper tribunal (UT) overturned the First Tier Tribunal (FTT)'s decision to allow a club to zero-rate construction of a clubhouse. It agreed that no penalties were due.
In Clark Hill Limited v HMRC [2018] UKFTT TC06368, the First-Tier Tribunal (FTT) found that three of four properties sold did not meet the conditions for TOGC as the options to tax were not in place before the deposit was paid.
In Supercar Drive Days Limited v HMRC [2018] UKFTT TC06311, the First-Tier Tribunal found that collision damage waiver payments were not exempt supplies of insurance.
In Global Foods Limited v HMRC [2017] UKFTT TC06020, the First-Tier Tribunal (FTT) concluded HMRC made reasonable enquiries for the purposes of the repayment supplement, despite that it later proved that those enquiries were based on incorrect law.
HMRC have published a new consultation, ‘Alternative method of VAT collection – split payment’, which looks at who is best placed in the online marketplace supply chain to account for VAT to HMRC, in order to combat VAT fraud.
HMRC have issued 'VAT registration threshold: call for evidence' to explore whether the design of the VAT threshold should be changed.