Jigsaw Wholesale Limited v Commissioners for Her Majesty's Revenue and Customs
Decision date: 13 April 2010
Neutral citation: [2010] UKFTT 164 (TC)
Overall AI summary confidence: high
Short overview
This short overview is intended to summarise the case, issues and outcome so far as they are supported by the judgment.
AI confidence in this short overview: high
This appeal concerned whether duty-suspended beer consigned from the UK to a bonded warehouse in France had arrived so as to avoid an excise duty point. The Tribunal found the returned documentation was not a proper receipted AAD and the French authorities confirmed non-delivery, so an excise duty point arose in the UK and HMRC’s assessment for £26,106 was upheld. The appellant’s reliance on Teleos (a VAT good-faith principle) was rejected.
Ratio decidendi
This summary is intended to identify the ratio decidendi, meaning the legal reasons for deciding and the binding part of the decision.
AI confidence in this ratio decidendi summary: high
Where a duty-suspended intra‑Community consignment does not arrive and no proper receipted AAD (copy no.3) is returned within the statutory period, an excise duty point arises at the time of removal under DSMEG regulation 4; if the irregularity is detected in the UK (including absence of returned AADs and UK checks), regulation 3 can cause the liability to arise in the UK. A VAT good‑faith authority (Teleos) does not displace those excise movement and guarantee rules.
Obiter dicta
This summary is intended to identify obiter dicta, meaning observations made by the way that were not necessary to deciding the case and are not binding.
AI confidence in this obiter dicta summary: medium
The Tribunal expressed suspicion about the authenticity of the appellant’s receipted AAD and emphasized that a guarantor/warehousekeeper cannot discharge liability except by proper proof of delivery to the consignee (the returned AAD), but these comments are ancillary to the decision.