Coonley Trading Limited appealed to the FTT against two decisions by HMRC related to inaccuracies with the company’s VAT returns.

These included a notice of VAT assessment made under section 73 of Value Added Tax Act 1994 (VATA 1994) for the periods ending 10/17 to 04/19 for £11,400.

They also appealed against a penalty of £7,281 related to alleged inaccuracies within the company’s VAT returns for the same periods – under Schedule 24 of Finance Act 2007 (FA 2007).

On 5 April 2017, the company registered for VAT describing its business activities as plumbing and drainage, heating and plumbing contracting. It was a franchise that the second appellant, Adekunle Omisakin-Adeyela, had purchased.