- Maxxim Residential Design Ltd appealed against HMRC’s “best judgement” assessments and penalties for VAT periods from March 2013 to June 2014.
- The UK FTT found that some assessments were out of time, but the penalties were valid due to the wording of Schedule 24 Finance Act 2007.
- The phrase “due or payable” was interpreted to mean there was a liability to VAT in earlier periods, even if the tax was not actually payable due to HMRC being out of time to assess.
- This outcome may surprise taxpayers negotiating time limitation and penalty assessments with HMRC.
Source DLA Piper
Latest Posts in "United Kingdom"
- Employment Agency’s Reimbursed Medical Staff Costs Not Exempt from VAT, Tribunal Rules
- VAT Exemption for Welfare Services Applies to Both English and Welsh Operations, Tribunal Rules
- HMRC Updates VAT Deduction Rules for Overseas Insurance Intermediary Services After Tribunal Decision
- Common VAT Payment Issues: Questions, Penalties, and Solutions for Businesses in Financial Difficulty
- MPs Call on Chancellor to Cut VAT and Business Rates for Pubs and Restaurants
