- The First-tier Tribunal (FTT) issued a decision on VAT recovery for non-owners of imported goods, supporting HMRC’s policy.
- The case involved Piramal Healthcare, which imports and distributes pharmaceutical products without owning them.
- HMRC disallowed Piramal’s input tax recovery, stating that only the owner can recover import VAT.
- The FTT ruled in favor of HMRC, upholding the policy and allowing HMRC to assess Piramal before the policy’s official date.
- This decision impacts businesses importing goods they don’t own, requiring them to review their import procedures. It also raises concerns about HMRC’s entitlement to assess VAT before the effective date of a new policy.
Source RSM
