AFC Telford United lose VAT court fight

Club officials said they had given warning that payments would be late and should therefore not be penalised

AFC Telford United have lost a court battle over late VAT payments.

The non-league club complained that HM Revenue & Customs (HMRC) had unfairly imposed surcharges of about £2,500 after VAT bills totalling £40,000 were paid late.

Club officials said they had given warning that payments would be late and should therefore not be penalised.

But a specialist judge has ruled against the National League North team after a tribunal hearing in Birmingham.

In November the Lilywhites - currently in the bottom half of the table - announced that after consultation with supporters, they were selling shares and changing their ownership model to allow external investment.

No one person or organisation could buy more than 20% of the shares during the three-week sale.

The club, formerly called Telford United, has been a major force in non-league football reaching more FA Trophy finals than any other team. They won on three of their five visits to Wembley and also reached the FA Cup fifth round in 1985.

But they were forced into liquidation in 2004 and reformed as AFC Telford United, starting their new life in Northern Premier League Division One.