VAT update, January 2017

In this month’s update we report on new penalty legislation which the government intends to introduce for businesses participating in VAT fraud, HMRC’s consultation on VAT grouping and proposed new legislation to tackle the exploitation of VAT relief on adapted cars for wheelchair users.

We also comment on three recent cases involving VAT recovery on management buyouts, VAT recovery on insurance intermediary services and the VAT treatment of commission paid on redemption vouchers.