On 21 and 22 September 2016, HMRC published updated guidance on retrospective VAT group treatment.

The Tribunals have previously criticised HMRC’s approach to retrospective group applications (for example, see here for our commentary on the decision in Copthorn Holdings Ltd v HMRC).

The updated guidance is unchanged as regards HMRC’s approach in “ordinary” cases, but does give some further examples of “exceptional” cases and states that HMRC will not automatically reject “exceptional” cases that do not fall within these limited examples.

The revised guidance can be viewed here.