- TSI Instruments Ltd imported goods for repair and paid import VAT, claiming it as input tax.
- HMRC denied the input tax credit because TSI did not own the goods, assessing nearly £8.5 million in VAT.
- TSI argued ownership was not required if goods were used for its business and it bore the import costs.
- The FTT ruled that both under EU and UK law, only the owner of the goods can claim input VAT credit, and TSI was not entitled.
- The appeal was dismissed; TSI can instead use inward processing relief or arrange for the owner to be the importer.
Source: claritaxnews.com
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.
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