Judicial Review: Midlands Partnership University NHS Foundation Trust v HMRC [2024] UKUT 334
- Changes in the Health and Social Care Act 2012 led to local authorities in England assuming responsibility for health-related services previously provided by NHS bodies
- Midlands Partnership University NHS Foundation Trust provided free health services to the public, arguing they were ‘non-business’ supplies
- HMRC rejected the Trust’s claim for a VAT refund, stating that some services were exempt while others were taxable
- The Upper Tribunal determined that the Trust’s services were provided for consideration and constituted economic activities
- The Trust was found liable for VAT on the taxable services provided
- This case highlights the importance of considering the ‘economic activity’ test when determining VAT liability
Source: rpclegal.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.
