Henderson Loggie VAT Team's Tribunal Success
The VAT team at Henderson Loggie have recorded a significant win at the First Tier Tax Tribunal, which has ruled against HM Revenue & Customs and saves our client over £150,000 per year.
The win, for an SME client, represents the end of a VAT liability challenge that ran for over two years, culminating in a two day Tribunal hearing in Edinburgh. Operating in a consumer facing business, the success ensures that VAT does not become a significant pricing issue for the business.
Alan Davis, Henderson Loggie’s VAT Director, led the challenge, instructing leading Indirect Taxes advocate, David Small, to provide representation at the Tribunal stage itself.
Commenting on the win, our client said “this is great news and a huge relief. I really appreciate the hard work and great effort that both your team and David have put into the case and I am delighted that the Tribunal have ruled in our favour.”
Alan said “the issue was first identified by the Henderson Loggie VAT team challenging the imposition of VAT on international supplies. We advised that income should not be subject to VAT and provided confidence to the client that the matter could be successfully challenged after HMRC objected. Throughout the (extended) appeal process, we ensured the client was fully briefed, comfortable with the process, and when it came to the hearing itself, was very well prepared and understood what was required. Whilst it is still possible HM Revenue & Customs could appeal to the Upper Tribunal, needless to say we are delighted with the outcome for the client.”
Tax Fee Protection Insurance
In this instance our client benefitted from the Tax Fee Protection Insurance that Henderson Loggie make available to clients, to provide cover for similar challenges – including direct and personal taxes - by HM Revenue & Customs. This helped towards the significant costs incurred in challenging the HM Revenue & Customs ruling.
If you’d like to know more about our VAT advisory or litigation service, or Tax Fee Protection Insurance, please contact Alan Davis or any of the VAT team;
Alan Flavelle
0141 221 6807 or alan.flavelle@hendersonloggie.co.uk
Kathryn Williamson
01382 200055 or kathryn.williamson@hendersonloggie.co.uk
or your usual contact.
