Cohen v Revenue & Customs [2010] UKFTT 631 (TC) (08 December 2010)

Cohen v Revenue & Customs [2010] UKFTT 631 (TC) (08 December 2010)

Zero-rating for VAT purposes requires strict compliance with the evidential requirements set out in Notice 703, which have the force of law. The Appellant failed to provide adequate proof of export for 8 out of 10 invoices, as the evidence did not clearly identify the export destination and/or the mode of transport and route as required. Only two invoices (1118 and 1177) met the requirements, so the assessment was reduced accordingly.

Citation
[2010] UKFTT 631
Parties
Appellant: Michael Cohen; Respondents: The Commissioners for Her Majesty’s Revenue and Customs (Value Added Tax)
Jurisdiction
United Kingdom
Judgment Date
08 December 2010
Procedural Posture
VAT Assessment Appeal / First Tier Tribunal (tax Chamber) Decision
Outcome
Appeal allowed in part
Legal Topics
VAT Zero Rating, Export Evidence Requirements, Notice 703 Compliance
Tax Law VAT Zero Rating Export Evidence Requirements Notice 703 Compliance

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 3 Authorities cited 4 Party arguments 2 Amounts and remedies 2
Sign in to unlock

Parties

Michael Cohen

Appellant

The Commissioners for Her Majesty’s Revenue and Customs (Value Added Tax)

Respondents

Procedural Posture

VAT Assessment Appeal / First Tier Tribunal (tax Chamber) Decision

Legal Issues

  1. 1 Whether supplies made to customers outside the member States were eligible to be zero-rated under section 30(6) VATA
  2. 2 Whether the conditions in Notice 703 relating to exports were satisfied

Ratio Decidendi

Zero-rating for VAT purposes requires strict compliance with the evidential requirements set out in Notice 703, which have the force of law. The Appellant failed to provide adequate proof of export for 8 out of 10 invoices, as the evidence did not clearly identify the export destination and/or the mode of transport and route as required. Only two invoices (1118 and 1177) met the requirements, so the assessment was reduced accordingly.

Court Disposition

Appeal allowed in part

Orders

  • Assessment reduced to charge VAT of £4,702.80; interest to be recalculated accordingly
  • Supplies under invoices 1118 and 1177 to be zero-rated; assessment upheld for the remaining supplies