GK was charged with one other in cheating the public to the sum of £5.4 million.
The case focused on the proper deployment of an ‘option to tax’. The sale of property is ordinarily exempt from VAT but the option to tax permits a business to elect to charge VAT on the sale of otherwise exempt commercial property and to recover VAT on related development costs, for example, surveyors and other professional services.
Not guilty verdicts were recorded against GK when the Crown Prosecution Service offered no evidence on consideration of an application to dismiss the charges by the defence team. Gavin Irwin – 2 Hare Court instructed.
