HMRC and MFI settle VAT dispute
Multimillion-pound dispute over insurance-backed structural guarantees is finally settled
MFI has reached an agreement with HMRC over a long-running VAT dispute on its
insurance-backed structural guarantees.
The furniture retailer paid all of the relevant VAT and was shown as a
receivable on its balance sheet of £60.5m, however, HMRC has paid MFI £21.8m,
with the rest written off its accounts.
MFI anticipates receiving the cash in mid-February.