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Articles tagged vat for United Kingdom

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ITS Plant-Tech v HMRC: VAT Implications for Umbrella Payroll Arrangements

A landmark UK tribunal judgment establishes that contractual labelling alone cannot create a recoverable VAT supply of labour services. The ITS Plant-Tech v HMRC case reinforces that economic reality determines VAT recovery eligibility for umbrella payroll arrangements, with significant consequences for recruitment agencies and contractors.

3 min read
HMRC's VAT Notice 723A provides the framework for non-UK businesses to reclaim UK VAT on supplies received from January 1, 2021 onwards. The scheme remains active as of September 9, 2026, with no recent changes to its core rules.

VAT Notice 723A: UK VAT Reclaims for Non-UK Businesses Post-Brexit

HMRC's VAT Notice 723A allows non-UK businesses to reclaim UK VAT on supplies received from January 1, 2021 onwards. The scheme requires reciprocity and uses a defined claim period (July 1 to June 30) with claims covering three to twelve months. Import VAT and VAT group claims have specific eligibility rules.

2 min read

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