Hut Group flotation still on despite government's VAT plans
CD and DVD supplier to push on with plans to float, despite the govenrment looking to close VAT loophole
A CHESHIRE-BASED business that supplies CDs and DVDs to customers of major retailers via Guernsey, avoiding VAT, is pressing on with plans to list – despite the UK government’s plans to close the loophole.
The Hut Group, founded in 2004 by Matthew Moulding, is to continue with its flotation plans, reports The Guardian. The business posts VAT-free goods from Guernsey to online customers of retailers including Tesco and Asda.
The move is still planned despite the government announcing it would lower the exemption rate at which goods could be brought into the UK free of VAT.
Advisors have told Accountancy Age that the government’s plans to restrict the rate to £15 announced in the Budget must go further.
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