An European Court of Justice case has cast doubts on whether the UK was correct to ban the recovery of VAT on business entertaining costs.  Although the matter may not be decided in full for some time it is possible to submit ‘protective’ claims at this point to maximise recovery should the final decision be favourable. This may result in recovery of the VAT and also interest.

The maximum time under the new rules allows claims to be made retrospectively to 1st April 2006, however to achieve this, a claim would need to be made by 31st March 2010.  A later claim would reduce the retrospective advantage.

We can advise and assist with the submission of such a claim.  Please contact John Shearer on 01392 211233.