INCOME TAX – Applications by HMRC for a stay in the appeal proceedings, initially for six months, and an extension of time to serve their Statement of Case – both applications opposed by the Appellant – Criminal investigation being undertaken into whether offences had been committed in relation to the submission of tax returns to HMRC by persons (such as the Appellant) who set up trades pursuant to a marketed tax avoidance scheme involving environmental research – the Appellant not suspected by HMRC of having committed any criminal offence – the investigation focussing on ‘the architects, facilitators and advisers to the arrangements’ – held a stay of the appeal proceedings for a period of 6 months and also an extension of time for the service of the Statement of Case would be directed – balancing exercise undertaken – reason for directing the stay and the extension of time was to give time for the Officers of HMRC having conduct of the appeal to be provided with further relevant evidence (if any) gathered or to be gathered in the criminal investigation – held however that HMRC had failed to discharge the burden on them of showing that the conduct of the appeal up to and including the hearing and the subsequent release of the Tribunal’s decision would necessarily give rise to a real risk of prejudice which may lead to injustice to a defendant or the prosecution in criminal proceedings – appeal re-allocated to the category of Complex cases under rule 23(3) of the 2009 Rules
[2010] UKFTT 481 (TC)
Bailii
England and Wales
Income Tax
Updated: 30 December 2021; Ref: scu.426647