The First Tier Tribunal (FTT) has allowed the appeal of an Amazon trader’s VAT bill, ruling that while HMRC’s assessment was made to the best of its judgment, the flat rate scheme for VAT should have applied.

The appellant, Pierre Andrew Divisia (PAD), appealed against an assessment of VAT made under section 73 of the Value Added Tax Act 1994 (VATA) for the periods 04/18 to 04/20 for £7,612.00.

In the summer of 2019, there was correspondence between PAD and HMRC about his UK VAT liability. In the course of this PAD explained that from 2019 onwards some goods for sale were stored in the UK by Amazon in warehouses.