Lee Squires and Fiona Bantock (Hogan Lovells) report the latest VAT developments that matter.
Balhousie: self-supply on sale and leaseback
The Upper Tribunal (UT) has allowed HMRC’s appeal in HMRC v Balhousie Holdings Ltd [2017] UKUT 410 (TCC) (reported at page 4) holding that Balhousie was liable to account for VAT on a self-supply that arose as a consequence of the sale of a care home by Balhousie Care (BC) a member of the Balhousie VAT group.
The supply of the care home to BC had been zero-rated under VATA 1994 Sch 8 Group 5 item 1 as the first grant of a residential building. BC funded the construction of the care home by entering into a sale and leaseback. The issue was whether the sale of the care home by BC should be treated as a disposal of its entire interest for the purposes of VATA...
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Lee Squires and Fiona Bantock (Hogan Lovells) report the latest VAT developments that matter.
Balhousie: self-supply on sale and leaseback
The Upper Tribunal (UT) has allowed HMRC’s appeal in HMRC v Balhousie Holdings Ltd [2017] UKUT 410 (TCC) (reported at page 4) holding that Balhousie was liable to account for VAT on a self-supply that arose as a consequence of the sale of a care home by Balhousie Care (BC) a member of the Balhousie VAT group.
The supply of the care home to BC had been zero-rated under VATA 1994 Sch 8 Group 5 item 1 as the first grant of a residential building. BC funded the construction of the care home by entering into a sale and leaseback. The issue was whether the sale of the care home by BC should be treated as a disposal of its entire interest for the purposes of VATA...
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:
