In LH Bishop Electric Co Ltd v HMRC (and related appeals) (TC02910 – 14 October) Judge Mosedale allowed appeals by a small company and two sole traders against decisions by HMRC requiring them to submit online VAT returns in accordance with FA 2002 s 135 and the VAT Regulations SI 1995/2518 reg 25A. She concluded that ‘because of its disproportionate application to persons who are computer-illiterate because of their age or who have a disability which makes using a computer accurately very difficult or painful or those who live too remotely for a reliable internet connection’ reg 25A contravened both the European Convention on Human Rights and the principles of European Union law.
Why it matters: This is a lengthy and controversial decision. It has been welcomed by the Low Incomes Tax Reform Group and by the...
