“Where a trader had means of knowing that by his purchase he was participating in a transaction connected with fraudulent evasion of VAT he lost his right to deduct input tax but only when he knew or should have known that the transaction was connected to fraud. To lose his entitlement it was not sufficient that the taxpayer knew or should have known that it was more likely than not that his purchase was connected to fraud.”
WLR Daily, 14th May 2010
Source: www.lawreports.co.uk
Please note once a case has been fully reported in one of the ICLR series the corresponding WLR Daily summary is removed.
