Natural Balance Foods Ltd v The Commissioners for HMRC
Decision date: 11 December 2025
Neutral citation: [2025] UKFTT 1555 (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 VAT appeal concerns whether Trek Protein Flapjacks were correctly reclassified by HMRC as standard-rated confectionery and the parties' dispute over disclosure. The Tribunal ordered HMRC to disclose documents about its July 2023 amendment to Manual VFOOD6200 (Category 1) as potentially necessary to the Appellant's pleaded legitimate expectation/public law arguments, but refused a wider disclosure of materials relating to HMRC's decision-making and third-party evidence (Category 2) as unnecessary and disproportionate. The Appellant may renew a narrowed request later; usual appeal rights apply.
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: medium
The Tribunal applied rule 5(3)(d): specific disclosure should be ordered only where the material sought is necessary (not merely relevant) to deal with the case justly and proportionately. Where public-law arguments such as legitimate expectation are pleaded and jurisdiction is not summarily disposed of, internal documents explaining a public authority's policy amendment may be necessary and therefore subject to disclosure. For time limits under section 73(6) VATA, the one-year period runs from when the officer received the last piece of evidence of sufficient weight on which they relied.
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 rejected a blanket proposition that internal HMRC policy documents are irrelevant to legitimate expectation, observing the law on secret amendments is complex. It also noted it would be reasonable to expect HMRC to call the assessing officer as a witness and indicated a more focused disclosure application could follow once witness statements are available.