Everything FDs need to know about VAT recovery on deal costs
'Businesses have always been challenged by Her Majesty’s Revenue & Customs (HMRC) over the VAT recovery of deal costs.
A degree of uncertainty has existed for some time following various high profile VAT cases. As most Finance Directors (FDs) know, this is an area where the amount of VAT at stake for the business could be substantial, so getting the VAT recovery treatment correct can be critical for the business.
In a welcome move for businesses and advisers alike, HMRC have recently published internal guidance that outlines their policy on the VAT recovery of deal costs for holding companies. Here’s everything you need to know about it.'
Senior VAT Manager Kamlesh Chauhan has written for Financial Director on the subject of M&A deals costs and VAT recovery. For the full article, click here. First published June 2017.