- Lycamobile UK has lost a £51mn dispute with British tax authorities over VAT treatment of customer “bundles”
- The company’s auditor was unable to sign off on Lycamobile UK’s accounts for 2022
- Lycamobile’s French entities were convicted of VAT fraud and money laundering last year
- The tribunal ruled that VAT is chargeable at the point of sale, regardless of whether customers use the allowances
- The size of the payment to be made by Lycamobile to HMRC is still to be determined
- Lycamobile is working with HMRC to interpret the ruling and may seek guidance from the tribunal if agreement is not reached
Source: ft.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
Latest Posts in "United Kingdom"
- HMRC Guidance: Updates on VAT appeals
- VAT Exemption for Medical vs Cosmetic Treatments: Key Tribunal Guidance for Clinics and Practitioners
- HMRC Updates Guidance on Lost VAT Appeals: New Cases Added and Amended
- VAT Recovery Falls Despite Increased Crackdown on Business Tax Avoidance, HMRC Figures Show
- VAT Late Filing Penalties: Software Failure and Employee Error Not Reasonable Excuse, Appeal Dismissed
