Case Studies

High-end interior designer - High-end interior designer shipped goods over long projects and HMRC disputed the zero-rating for exported goods. The dispute followed a HMRC inspection where they refused to accept that goods had been exported potentially leading to >£400k VAT falling. We were… more
German supplier - German supplier of knee replacement tissue needed to know if UK VAT fell due. This involved questions of whether the supply was of goods or services and contrasts with EU interpretations. We found the supply to be services of growing… more
Disabled child - Disabled child - how much of a building project to benefit a disabled child could be zero-rated? The solicitor had been engaged to manage a clinical negligence settlement which involved significant property alteration to make the house suitable for the… more
Charity owning significant property - Charity owning significant property portfolio but never registered for VAT - was this the best idea? Advice in relation to costs being incurred on planned property development leading to 4-year back-dated registration securing VAT claims >£100k led also to the… more
Cathedral - Cathedral was planning significant works but needed to quantify VAT cost for HLF bid. Zero rating for charity buildings, disabled relief, business use areas and the special scheme for cathedrals had to be taken into account when quantifying how much… more
Buyer of frozen berries - Buyer of frozen berries from outside the UK to make berry powder and asked if this should be zero-rated. The food zero-rating is convoluted but by considering the legislation and case law we established the liability of the powdered berries… more
Icelandic company - Icelandic company imported IT goods into UK and needed to find a way to recover the import VAT. The accountant could not make the costs recoverable however by acting as UK VAT Agent we were able to establish a short-life… more
Baby products supplier - Baby products supplier had been charging VAT on all sales including baby towels. Exploring legislation and case law we were able to show zero rating applied and present arguments against unjust enrichment provisions leading to a >£60k refund plus ongoing… more
Kids party/holiday provider - Kids party/holiday provider centred on art classes was facing VAT registration and a reduction in profit. Referred by their business coach we explored the extent of applying the education exemption. As art is a subject taught in schools we found… more
Limited Partnership - Limited Partnership unsure of VAT on property and concerned by VAT on unusual transactions. Acting for the solicitors handling surrenders of leases to create a residential development we were able to structure the transactions so that they were incurred by… more
National Citizenship Scheme provider - National Citizenship Scheme (NCS) provider unsure of VAT treatment and whether VAT should be factored into their overheads. The accountants asked whether VAT was due on NCS arrangements or covered by education exemption? We discussed and researched by reference to… more
Not-for-profit child guardians - Not-for-profit child guardian service provider unsure of the VAT treatment and if over-charging clients. The accountants were unsure and asked us to establish whether VAT had been charged in error on guardianship services to parents of students studying in the… more
Optician practice & partial exemption - Optician practice's partial exemption method was not on the correct footing so VAT was due. A change of accountants led to questions over the validity of the methodology. We were able to rework prior years and limit the VAT underpayment,… more
Property company - Property company was trying to register for VAT but HMRC had refused. We found that the company was entitled to register under the intending trader provisions and successfully argued the case with HMRC who allowed a retrospective registration which therefore… more
Property development company - Property development company acquiring development land in a barter arrangement. The land was owned by a working men's club who agreed to sell provided the developer constructed a new clubhouse for them on another site. As a barter transaction the… more
Sale or return retail company - Sale or return retail company with several outlets operating as separate entities led to disaggregation concerns. The arrangements had left the client exposed but by reference to contracts and the actual trading structure we were able to recommend how these… more
Seller of event tickets & holiday packages - Seller of event tickets & holiday packages unsure if TOMS had been handled correctly. Using the complex TOMS rules we were able to review and verify the methodology making modification and improvements so that prior and future VAT accounting is… more
Singapore based business - Singapore based business was sourcing and selling cars into the UK. We provided guidance on how VAT should be arranged for cars imported into the UK by a non-UK business to enable VAT to flow through to the final sale. more
Vocational training provider - Vocational training provider in the beauty sector was concerned that VAT had been underpaid by not being registered. Referred by the accountants, whether VAT was due on vocational training which we addressed by exploring the nature of services being supplied… more
Retirement village development - Retirement village development - could VAT be claimed on construction of a members club central hub? Case law and HMRC policy in this area made advising on how to structure the common areas in order to maximise VAT claims by… more
Second-hand car part company - Second-hand car part company had confused his records and over-paid VAT. By using the second hand margin scheme rules and forensically rebuilding the client's records we were able to calculate VAT actually due on the car part sales and advise… more
Team sport supplier - Team sport supplier had charged VAT on all of its supplies - was this the right answer? Advising on the extent of the Sports exemption led to us quantifying a back claim of >£70k for overpaid output VAT and overcoming… more
Theatre Club tickets - Theatre Club ticket sales involved retention of a profit margin - what was the value of the supply? Complex agent -v- principal considerations led to uncertainty on the value of VAT due. Review of contracts and website presentation along with… more
UK subsidiary of German parent - UK subsidiary of German parent needed to find a Brexit-proof solution to importing goods to the UK destined for Ireland. By exploring Customs reliefs and how the client traded with Irish customers it was decided that an Irish registration would… more
US based Formula E racing team - US based Formula E racing team had an argument with HMRC about recoverable VAT. A HMRC compliance check challenged entitlement to VAT reclaims of >£350k which had not been accounted for very carefully. By reconstructing the records and presenting the… more
Insurance company - Insurance company involved in car policies under which written off cars had to be disposed of. The exemption for insurance allied with second hand margin scheme and complex agent -v- principal distinctions had led to confusion. Research and review enabled… more
Gold coins and collectables trader - Gold coins and collectables trader was unsure of how to handle VAT. By exploring the nature of supplies being made we provided the client with an aide memoir to enable accurate VAT accounting going forwards and protect against future costly… more
Engineering group - Engineering group needed to fulfil company's SAO obligations - could we help? Ongoing compliance services are provided to a number of client, typically over-seeing VAT return preparation on a quarterly basis to ensure that costly VAT errors are not being… more
Air Ambulance - Air Ambulance had registered for VAT but not processed VAT claims due to complex calculations. By coding purchases and income and taking into account non-business restrictions and partial exemption we were able to quantify refunds of >£100k and agree these… more
Mixed use property conversion - A large bungalow was being extended and split to create a large HMO but VAT costs were an obstacle. The project involved a series of mixed use existing properties in Herts & Berks were being variously extended and improved to… more
Complex SPV mixed use new build - We removed significant VAT costs on a complex SPV mixed use new build project in Birmingham. The way the deal was structured was complicated by involving a sale and development management contract where, as often happens with property, the VAT… more
Office block conversion - The developer had to pay VAT on buying the office property which made the project costs unworkable but we were able to make the VAT costs disappear. A large office block conversion project in Nottingham was being bought to create… more
VAT registration entitlement - We have had some great successes for a lot of clients who weren't registered for VAT but carrying significant VAT costs on projects that would lead to sales in the future. HMRC can be very awkward about letting a business… more