Replies to post #5846 on TriCell LTD (fka TCLL)

[trailorparkboy]

The latest, looks like we may have to wait who knows.....It states they may let the ECJ make a decision but they ahve already decided with tricell see PR below so who knows, might get interesting I wish/hope tricell will issue a PR after the decision


Devika: Costly waiting game for traders
February 19, 2010

By Devika Sen-Gupta (contact [e-mail])

This VAT fraud saga is to turn a new page when the Court of Appeal releases its verdict on a new conjoined VAT fraud case. But will it be the finale?

We’ve been here before, many times. Traders are hopeful a new court ruling will open floodgates and see VAT witheld by Customs returned to them. One thing is for sure, if we have learnt anything in this saga, there will be no great repayment to traders.

Customs’ strategy is neccessary to stop carousel fraud and robbery of the public purse, but it is plainly flawed also. Many traders facing lengthy and expensive court battles for witheld VAT funds are innocent.

They are defending themselves against a loose interpretation of a ‘means of knowledge’ test, first implemented by Brussels in the Axel-Kittel case.

The import/export trade and Customs both require a clearer definition of ‘knowledge’, or of ways of knowing of VAT fraud in a supply chain. Is it enough for Customs to argue it can withold VAT from traders simply because they should be aware carousel fraud exists?

Or should the burden of proof be on Customs to show traders have reasonable means to detect actual fraud in their own supply chains?

Although this new conjoined case of four traders is being heard this week in the Court of Appeal, a judgement won’t be released until March. And even then, if the judges decide to refer the case to the ECJ in order to get clarity on the law, it could be three years for any legislation to be set down.

Clarity should come but, for now, as for the past four years, it is a very costly waiting game.

And some good traders, crippled by Customs’ policy on the matter, will be unable to work, or contribute to the British economy.





Tricell is Pleased to Announce European Court of Justice Decision on Tax Refund
AFFORDSHIRE, U.K., Tricell Inc.
(OTC Pink Sheets: TCLL), today announces that the European Court of Justice
ruled in favor of companies such as Tricell whose VAT refunds had been
withheld by HM Revenue + Customs. This decision emanates from HM Revenue +
Customs' prosecution of the Finance Bill of 2003 which made companies liable
to the VAT debts of other firms who may have engaged in fraud. The ECJ ruled
that a person who carries out an otherwise lawful transaction can not be
affected by the fact that in the chain of supply of which that transaction
forms part, another prior or subsequent transaction is compromised by value
added tax fraud, without that person knowing or having any means of knowing of
such fraud. HM Revenue + Customs' position was that this fraud, also referred
to as "missing trader fraud," occurred when a business imported goods, in
Tricell's case electronic commodities such as cellular telephones, then sold
the goods to another business with VAT added to the sales price and the
selling importer then did not pay the VAT withheld.
HM Revenue + Customs had withheld VAT refunds to importers who submitted
proper refund requests, but who had the misfortune of buying or selling goods
which some other business had not paid their separate independent VAT refund.
Andre Salt, Tricell's CEO and Chairman of the Board, stated, "Tricell can now
buy goods in the open market without fear of having VAT refunds withheld by
Customs.
Andre Salt added, "We are very relieved and pleased with the ruling of the
ECJ, Tricell will now pursue damages for lost profits, attorneys' fees
expended, and other damages."