QB  STC 327
Dearwood was a company that bought the stock, premises and some of the obligations of an insolvent company. The insolvent company sold reproduction furniture, Dearwood intended to fit kitchens. Dearwood claimed input tax on the purchase of the insolvent company. The Commissioners argued that the purchase by Dearwood was a TOGC transaction, therefore no VAT was chargeable. Dearwood argued that as the trade was different, the TOGC rules did not apply. The case was decided in favour of the Commissioners, for a TOGC to occur the test is whether a trade could be carried on after the transfer not whether the same business would be carried on.