This part of GOV.UK is being rebuilt – find out what beta means

HMRC internal manual

VAT Fraud

Basic interventions: input tax interventions: supply not made to the taxable person claiming the input tax

According to VIT13300 of the Input Tax guidance manual:

Only the person to whom the supply was made can make a valid input tax claim. This is a fundamental principle. It overrides the question of who may have paid for the supply. It also overrides the question of who may hold the relevant invoice or other evidence.

Where a third person pays for a supply that person does not have the right to deduct input tax. This applies whether the payment was made due to a legal requirement or is simply a normal commercial practice. Only the recipient of the supplies is entitled to recover input tax.