In the BBC programme ‘Fraud Squad NHS’ 24th Sept 2020, a man was arrested for VAT fraud – He was privately buying (many) luxury cars (bentleys/range rovers etc) – using complicit disabled drivers to avid paying VAT – and then selling them on at a profit. My understanding of the law is VAT exemption only covers ‘permanently and substantially modified’ MPV/Mini-bus type vehicles. So I can’t see how VAT could be avoided on a non-adapted luxury sports vehicle. So to my question – can an unmodified vehicle be legally bought privately VAT free? …..and if so – How? Cheers
I think the case in the TV programme pre-dated the clamp down that HMR&C had on the issue a couple of years back (2017) when tighter legislation was introduced.
The BBC cannot ‘name & shame’ on programmes such as this until the person involved has been found guilty in court and these cases can take a long time to get to trial. They actually said on the programme that the investigation took 5 years.