What is VAT fraud?: examples of different types of VAT fraud: missing trader intra-community (MTIC) fraud: introduction
As the name suggests, MTIC fraud contains two elements: a missing trader and an intra-community supply. It involves a taxable person obtaining a UK VAT registration number, purchasing goods VAT free from another EU Member State, selling those goods with VAT to another VAT registered taxable person in the UK and then going missing or defaulting without paying the VAT due to HMRC.
This type of fraud can also use services as well as goods.
This section of the guidance provides descriptions of:
- those involved in MTIC fraud (VATF23520)
- acquisition fraud (VATF23530)
- carousel fraud (VATF23540)
- contra trading (VATF23550)
If you discover a taxable person who you suspect to be part of an MTIC fraud you should contact the VAT Fraud Team.