UT/2023/000115 - [2025] UKUT 00004 (TCC)

VATA 1994 has effect in relation to this appeal in the same way that it had effect immediately prior to IP completion day (EUWA 2018, s.2), including effects as a result of interpretation or disapplication.

The REULA [Retained EU Law (Revocation and Reform) Act 2023] amendments and [Finance Act] 2024 savings in respect of VAT have no application to this appeal, because the relevant events occurred before the end of 2023 (REULA 2023, s.22(5)) and, in any event, the claim accrued prior to that time (see, by analogy, Lipton, as regards causes of action accruing under EU regulations before UK Withdrawal (Footnote: ⁴)).

The parties suggest that this claim accrued in 2016 when the VAT return containing the relevant output tax, which the Appellant says was overpaid, was submitted (or, in the alternative at the date of the claim for overpayment in 2020). For the purposes of this appeal the outcome is the same, because the cause of action would have been carried through by the EUWA, and REULA/s.28 FA2024 do not apply in relation to anything occurring before the end of 2023.

CJEU authorities decided before 31 December 2020 remain binding on this Tribunal (i.e. including Marleasing). CJEU authorities decided after that date are not binding, but regard may be had to them (s.6 (1), (2) (7) EUWA).

Further, s.6(3) EUWA provides that any question as to the validity, meaning or effect of retained EU law (i.e. VATA), is to be decided, insofar as the law is unmodified after IP Day (as is the case with Item 1 of Group 12), in accordance with any retained case law and retained general principles of EU law.

The principle of the supremacy of EU law continues to apply in this appeal, so far as relevant to the interpretation, disapplication or quashing of law made before IP Completion Day (i.e. VATA) (s.5(2) EUWA, pre-REULA amendment/s.28 FA 2024 savings).

Directly effective rights, if any, arising from the Principal VAT Directive continue to apply in relation to this appeal, only insofar as permitted by EUWA s.4(2)(b) (pre REULA amendment).