It involves Rank Org's case against HMRC and "piggy back" action by smaller concerns against HMRC in respect of VAT wrongly charged on gaming machines.The UK and European courts origionally found in favour of Rank but HMRC appealed and won.However Rank have won the right to appeal further and the case might take a year to be held.
There are 2 more actions pending relating to wrongly charged VAT on gaming machines which will be different cases and still stand a chance of success even if the first case is lost.
HMRC having lost the first case paid out but having won their appeal now want the money back with interest.
No .Not Yet
Don't think so ,HMRC are demanding repayment
If the company went into administration or was wound up would the share holders benefit from a subsequent award in their favour
Are you saying the company needs to be kept alive to benefit(or its shareholders) from any future court action against HMRC.
It will be Rank who are continuing the action bur the point is if it is found the the company was wrongly charged VAT and we are talking£3m why is it not owed to the shareholders
So to clarify if the receiver/liquidator has paid off all the creditors he can keep the action going against HMRC even for 2/3 years and return funds claimed from HMRC to the shareholders of the co.
Would he need to be uncentified to carry on the claim
Sorry not clear on that
So we would be reliant on the goodwill of the IP (insolvency practioner)could he /she keep the proceeds
of future action.Would the company be better seved by appointing an IP voluntarily?
Even though the company is no longer trading?
Finally.So even after say 5 years and it was found that the company should not have paid VAT in can be reclaimed and distributed to the shareholders
Got there in the end.Thanks Alex, sorry for slow(man) typing
will do--BAD, Only joking :-)
U need to finish to allow me to rate