Herling Ltd v Revenue & Customs [2009] UKFTT 257 (TC) (08 October 2009)

Herling Ltd v Revenue & Customs [2009] UKFTT 257 (TC) (08 October 2009)

The planning consent expressly limited use to holiday accommodation only and excluded use as a principal private residence; therefore, zero-rating is excluded by Note (13) to Group 5 of the VAT Act 1994.

Citation
[2009] UKFTT 257
Parties
Appellant: Herling Ltd; Respondents: The Commissioners for Her Majesty’s Revenue and Customs (VAT)
Jurisdiction
United Kingdom
Judgment Date
08 October 2009
Procedural Posture
VAT Appeal / First Tier Tribunal Decision
Outcome
Appeal dismissed
Legal Topics
Zero Rating, Holiday Accommodation, Planning Consent, Principal Private Residence Exclusion

Case Brief

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Parties

Herling Ltd

Appellant

The Commissioners for Her Majesty’s Revenue and Customs (VAT)

Respondents

Procedural Posture

VAT Appeal / First Tier Tribunal Decision

  1. 1 Whether the first grant of 28 dwellings constructed by the appellant qualifies for VAT zero-rating under Schedule 8, Group 5, item 1 of the VAT Act 1994, or is excluded by Note (13) due to planning conditions restricting use to holiday accommodation

Ratio Decidendi

The planning consent expressly limited use to holiday accommodation only and excluded use as a principal private residence; therefore, zero-rating is excluded by Note (13) to Group 5 of the VAT Act 1994.

Court Disposition

Appeal dismissed

Orders

  • The assessments for VAT at the standard rate stand; no adjustment to the assessments is required.