- The case involves Zed-UK Limited and its director, Mr. Zishan Choudry, against HM Revenue and Customs.
- The appeal concerns the denial of input tax for transactions between Zed and Digi C Associates Ltd, applying the Kittel principle.
- The tribunal found that Zed did not actually know the transactions were connected to fraud but should have known.
- The appeal was dismissed, and the penalty assessment under VAT Act 1994 section 69C was upheld.
- A personal liability notice against Mr. Choudry was withdrawn by HMRC.
- The tribunal hearing took place in February 2025, with the judgment issued in June 2025.
Source: bailii.org
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
