Mini Umbrella Appeal Judgement

• The Judgement of Elphysic Limited & Others v The Commissioners for His Majesty’s Revenue and Customs was released earlier this week (albeit the Judgement date was 27 March 2024)
• This case is in relation to supply chains that HMRC describes as “Mini Umbrella Schemes” and was heard by the First-tier Tax Tribunal (“FTT”) in January 2024
• The Appellants appealed HMRC decisions relating to VAT de-registrations under the Ablessio principle and/or their use of the Flat Rate VAT scheme (“FRS”) and/or their use of the Employment Allowance (“EA”)
• In summary, the appeals were successful in part – the Appellants succeeded in relation to the Ablessio issue, however the Judge found they were not permitted to utilise the FRS or EA

See Joseph Hage Aaronson LLP’s (the Appellants’ representatives) publication here.

See the Judgement here.