In Frank A Smart & Son v HMRC [2014] UKFTT 1090 (8 December 2014) the FTT found that VAT incurred on the purchase of units under the EU Common Agricultural Policy was recoverable.
Smart & Son runs a farming business. Under the EU Common Agricultural Policy it is entitled to benefits under the Single Farm Payment scheme. Units issued under the scheme are tradeable and a market has developed. Smart & Son had purchased traded units (on which VAT had been charged) in order to develop its farming business. It sought repayment of the VAT.
The FTT observed that the purchase of the units had been a funding exercise for the purpose of the farming business. It referred to Kretztechnik (C-465/03) which related to a share issue as authority for the proposition that in the absence of any exempt supplies by...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
In Frank A Smart & Son v HMRC [2014] UKFTT 1090 (8 December 2014) the FTT found that VAT incurred on the purchase of units under the EU Common Agricultural Policy was recoverable.
Smart & Son runs a farming business. Under the EU Common Agricultural Policy it is entitled to benefits under the Single Farm Payment scheme. Units issued under the scheme are tradeable and a market has developed. Smart & Son had purchased traded units (on which VAT had been charged) in order to develop its farming business. It sought repayment of the VAT.
The FTT observed that the purchase of the units had been a funding exercise for the purpose of the farming business. It referred to Kretztechnik (C-465/03) which related to a share issue as authority for the proposition that in the absence of any exempt supplies by...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
