Investment Trust Companies v HMRC

The case of Investment Trust Companies v HMRC (No. 2) (Ch D – 26 March) follows on from the CJEU decision in JP Morgan Fleming Claverhouse Investment Trust PLC v HMRC (Case C-363/05). Nine investment trust companies claimed repayments of VAT contending that the relevant supplies of which they had been the recipients and on which VAT had been charged should have been treated as exempt under art 13B(d)(6) of the Sixth Directive. (HMRC had repaid part of the amounts claimed to the fund managers which were the original suppliers but rejected some of the claims on the basis that they had been lodged outside the statutory time limits.) The companies took proceedings in the Ch D contending that HMRC should pay them the difference between the amounts that they had originally paid to the suppliers and the amounts that those suppliers had subsequently repaid...