Cloud B Ltd v Revenue & Customs [2014] UKFTT 997 (TC) (03 September 2014)

Cloud B Ltd v Revenue & Customs [2014] UKFTT 997 (TC) (03 September 2014)

The toys are 'stuffed' because they are physically and visually stuffed, marketed as cuddly toys, and their cuddly nature is integral to their function, regardless of their use as sleep aids. Objective characteristics outweigh intended use in classification.

Citation
[2014] UKFTT 997
Parties
Appellant: Cloud B Ltd; Respondents: The Commissioners for Her Majesty’s Revenue & Customs
Jurisdiction
United Kingdom
Judgment Date
03 September 2014
Procedural Posture
Customs Duty Classification Appeal / First Tier Tribunal (tax Chamber) Decision
Outcome
Appeal dismissed
Legal Topics
Customs Classification, Tariff Codes, Import Duties, Interpretation of 'stuffed' in Customs Context

Case Brief

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Parties

Cloud B Ltd

Appellant

The Commissioners for Her Majesty’s Revenue & Customs

Respondents

Procedural Posture

Customs Duty Classification Appeal / First Tier Tribunal (tax Chamber) Decision

  1. 1 Whether two soft toys containing soundboxes should be classified as 'stuffed' for customs purposes
  2. 2 Whether intended function or physical characteristics determine classification

Ratio Decidendi

The toys are 'stuffed' because they are physically and visually stuffed, marketed as cuddly toys, and their cuddly nature is integral to their function, regardless of their use as sleep aids. Objective characteristics outweigh intended use in classification.

Court Disposition

Appeal dismissed

Orders

  • The two toys are classified as 'stuffed' for customs purposes and subject to the applicable duty rate.