Silverfleet Capital Ltd (*’SCL””) supplied services to The Prudential Assurance Company Ltd (*Prudential”). The services were carried out whilst SCL and Prudential were both members of the same VAT group from 2002 to 2007.
However, some of the services were invoiced and paid for after SCL left the VAT group. As set out in its decision of 6 March 2023, the Upper Tribunal held that such supplies should be treated as made after SCL left the VAT group. As such, VAT should be due. This decision differs from that of the First Tier Tribunal (*FTT”). The FTT held that the supplies were made during SCLs membership of the VAT group and should be disregarded for VAT purposes.
Source Grant Thornton
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