Hatton National Bank PLC vs The Commissioner General of Inland Revenue – CA TAX/0001/2010-2022

The case between Hatton National Bank PLC and the Commissioner General of Inland Revenue concerned the validity and legality of a Value Added Tax (VAT) assessment issued for the 2003 tax year, specifically regarding VAT on financial services. The principal issues included the scope of assessable income for VAT purposes, the deductibility of certain expenses, compliance with statutory procedures under the Value Added Tax Act No. 14 of 2002 (as amended) and related legislation, and the procedural fairness and reasoning of determinations made by the Board of Review and tax authorities. It was held that only additional questions of law with potential to affect the outcome of the tax assessment—such as those exposing legal or procedural error or clarifying statutory interpretation—may properly