A UK court rejected a leisure services company’s additional interest claims on overpaid value-added tax, handing a win to the UK tax authority.
The Upper Tribunal overturned the First-Tier Tribunal’s decision Oct. 21 to award additional interest payments to Colaingrove Ltd., concluding the UK VAT law had already provided the remedy for seeking compensation for overpaid VAT, and other routes for relief sought by the company couldn’t be pursued.
Colaingrove Ltd. was involved in a series of VAT-related disputes with HMRC between 2000 and 2013. During the resolution process, HMRC admitted that the company was denied the correct tax treatment ...