Manatlantic Ltd v Revenue & Customs [2011] UKFTT 527 (TC) (03 August 2011)

Manatlantic Ltd v Revenue & Customs [2011] UKFTT 527 (TC) (03 August 2011)

The Tribunal found that in each transaction, fraudulent evasion of VAT was established in the deal chain, the Appellant's purchases were connected to that fraud, and the Appellant knew or should have known of the connection. Therefore, HMRC's refusal of input tax deduction was valid.

Citation
[2011] UKFTT 527
Parties
Appellant: Manatlantic Limited; Respondents: The Commissioners for Her Majesty’s Revenue and Customs
Jurisdiction
United Kingdom
Judgment Date
03 August 2011
Procedural Posture
VAT Input Tax Appeal / Final Judgment
Outcome
Appeal dismissed
Legal Topics
Input Tax Deduction, MTIC Fraud, Fraudulent Evasion of VAT
Tax Law VAT Input Tax Deduction MTIC Fraud Fraudulent Evasion of VAT

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 2 Authorities cited 6 Party arguments 2 Amounts and remedies 4
Sign in to unlock

Parties

Manatlantic Limited

Appellant

The Commissioners for Her Majesty’s Revenue and Customs

Respondents

Procedural Posture

VAT Input Tax Appeal / Final Judgment

Legal Issues

  1. 1 Whether the Appellant's transactions were connected with fraudulent evasion of VAT
  2. 2 Whether the Appellant knew or should have known of the connection to fraud
  3. 3 Whether HMRC's refusal of input tax deduction was valid

Ratio Decidendi

The Tribunal found that in each transaction, fraudulent evasion of VAT was established in the deal chain, the Appellant's purchases were connected to that fraud, and the Appellant knew or should have known of the connection. Therefore, HMRC's refusal of input tax deduction was valid.

Court Disposition

Appeal dismissed

Orders

  • HMRC's refusal of input tax deduction upheld
  • No payment to Appellant for input tax claimed in periods 01/06, 03/06, and 05/06