The receiver had been appointed under the 1968 Act, to manage the affairs of the defendant on his prosecution for tax fraud. She now sought a declaration as to her personal liability for tax which fell due. She had paid over some andpound;2 million to the court which she had realised. Held: A receiver was … Continue reading In re Inland Revenue Commissioners v Placentini (Defendant) Dayman (receiver), In re Criminal Justice Act 1988, and Taxes Management Act 1970: QBD 4 Feb 2003
application for penalty under section 98C and 100C Taxes Management Act 1970 – whether penalty application made outside time limit in section 103(4) Taxes Management Act 1970 – whether duty to notify only when promoter first became aware of any transaction forming part of scheme of notifiable arrangements or each time promoter becomes aware of … Continue reading Hmrc (ROOT2 Tax Ltd) v Revenue and Customs (Preliminary Issue – Application for Penalty Under Section 98C and 100C Taxes Management Act 1970): FTTTx 22 Sep 2021
The court considered whether a scheme was for the purposes of reconstruction or amalgamation in a capital gains tax context. Citing South African Supply: ‘In the context I think it is clear that when the learned judge referred to the persons carrying on an undertaking, he had in mind the shareholders who were carrying it … Continue reading Fallon v Fellows (Inspector of Taxes): ChD 2001
Where a general commissioner ‘was unable to accept’ a taxpayers explanation of his income and expenditure, this implied acceptance of Tax Inspector’s case, and that was sufficient to discharge the burden on the Tax Inspector to establish a loss of tax. Citations: Times 23-Nov-1998 Statutes: Taxes Management Act 1970 36 Jurisdiction: England and Wales Income … Continue reading Hurley v Taylor (Inspector of Taxes): CA 23 Nov 1998
The tax inspector had sought to make an assessment outside the six year period, saying that the accounts had been prepared negligently. The taxpayer had claimed roll-over relief. Held: The fact that the inspector had relied on professionally drawn accounts without investigating them further at the time was not a reason to disallow a reopening … Continue reading McEwan v Martin (Inspector of Taxes): ChD 20 Jan 2005
The court considered the nature of allowable expenses for an investment company: ‘the notion behind this Section may be thought to be that the expenditure is something which if you were looking at the profits and gains under Schedule D would be deductible as a sum of money wholly and exclusive expended for the purpose … Continue reading Norman v Golder (Inspector of Taxes): 1944
The taxpayer was a name at Lloyds. The inspector appealed a finding that the taxpayer’s trading losses could be attributed to one particular year, and set off through his PAYE coding. The difference would be that according to the inspector’s proposal, the tax would be paid in one year, and reclaimed in the following year. … Continue reading Blackburn (H M Inspector of Taxes) v Keeling: ChD 9 Apr 2003
Section 98A(2) and (3) Taxes Management Act 1970 – failure to file Employer’s End of Year P35 return on time – whether reasonable excuse – yes – appeal allowed Citations: [2014] UKFTT 470 (TC) Links: Bailii Statutes: Taxes Management Act 1970 Jurisdiction: England and Wales Taxes Management Updated: 12 April 2022; Ref: scu.526874
Where an inspector issued an assessment to tax, but mistakenly completed it to say that no tax was payable, and the taxpayer did nothing to indicate reliance upon it, there was no agreement between the taxpayer and the inspector such as would prevent the collector of taxes withdrawing and amending the assessment. Citations: Times 12-Aug-1999, … Continue reading Schuldenfrei v Hilton (Her Majesty’s Inspector of Taxes): CA 16 Jul 1999
A single transaction carried out as an agent for a non-resident company can be the ‘carrying on’ of a regular agency, though acting independently, and instructing lawyers and agents to sell land. Citations: Times 21-Nov-1995, Ind Summary 04-Dec-1995 Statutes: Taxes Management Act 1970 78(1), 82(1) Jurisdiction: England and Wales Corporation Tax, Taxes Management Updated: 10 … Continue reading Willson v Hooker (Inspector of Taxes): ChD 21 Nov 1995
Capital assessments issued by Inland Revenue are sufficient evidence of debt until answer by taxpayer and doubts raised even though not accepted. Citations: Times 10-Feb-1998 Statutes: Taxes Management Act 1970 36 Income Tax Updated: 08 April 2022; Ref: scu.81554
An auctioneer was not required to report to the Inland Revenue on the gross receipts of other traders on sales where he had acted as agent. Citations: Gazette 01-Mar-1995, Times 31-Dec-1994, Ind Summary 13-Feb-1995 Statutes: Taxes Management Act 1970 13 Jurisdiction: England and Wales Income Tax Updated: 08 April 2022; Ref: scu.80485
One partner may not appeal against an assessment to tax against the wishes of his or her partners. Citations: Ind Summary 31-May-1993, Times 17-May-1993 Statutes: Taxes Management Act 1970 56 Jurisdiction: England and Wales Cited by: Appeal from – Sutherland and Others v Gustar (Inspector of Taxes) CA 28-Feb-1994 One of several partners may appeal … Continue reading Sutherland and Others v Gustar (Inspector of Taxes): ChD 17 May 1993
FTTTx P35 return – Penalty for late return (Taxes Management Act 1970 s.98A) – Reasonable excuse – Appeal dismissed [2011] UKFTT 704 (TC) Bailii Taxes Management Act 1970 98A England and Wales Cited by: Not Followed – Chichester v Revenue and Customs FTTTx 18-Jun-2012 FTTTx Penalty; late payment; fairness; Jussila v Finland. ‘Reasonable excuse’. Honest … Continue reading Intelligent Management UK Ltd v Revenue and Customs: FTTTx 2 Nov 2011
hl Corporation tax – Group relief – What constitutes valid claim to group relief and whether such claim had been made within two-year time-limit – Claim made in notice of appeal and accounts without identifying surrendering companies – Income and Corporation Taxes Act 1970, 55 258, 264(l)(c), Taxes Management Act 1970, ss 42(5), 114. [1991] … Continue reading Gallic Leasing Ltd v Coburn (Inspector of Taxes): HL 28 Nov 1991
[2004] EWHC 602 (Ch) Bailii Taxes Management Act 1970 England and Wales Income Tax, Construction Updated: 09 January 2022; Ref: scu.194920
CONSTRUCTION INDUSTRY SCHEME – late filing of monthly returns – obligation delegated to bookkeeper – Appellant asserted that yearly P35’s contained details of CIS deductions – whether a reasonable excuse – no – Section 98A Taxes Management Act 1970 – Schedule 55 to the Finance Act 2009 – CIS tax deductions not accounted for to … Continue reading Agnew (T/A B and I Plastering) v Revenue and Customs (Income Tax/Corporation Tax : Sub-Contractors In The Construction Industry): FTTTx 25 Nov 2015
Sub-contractors in the construction industry – Contractors’ returns – Income Tax (Sub-contractors in the Construction Industry) Regulations 1993 – late submission of return – sections 98A and 118 Taxes Management Act 1970 – amendment to section 98A from 6th April 2007 – reasonable excuse [2010] UKFTT 507 (TC) Bailii England and Wales Taxes Management Updated: … Continue reading Lawton (T/A C B Lawton Drywall and Plastering Contractors) v Revenue and Customs: FTTTx 15 Oct 2010
CONSTRUCTION INDUSTRY SCHEME – penalties for late filing of CIS returns – s 98A Taxes Management Act 1970 – schedule 55 to Finance Act 2009 – proportionality – special circumstances – reasonable excuse – effect of paragraph 17(3) of Schedule 55 to Finance Act 2009 – appeal allowed in part [2018] UKFTT 744 (TC) Bailii … Continue reading Advanced Scaffolding (Bristol) Ltd v Revenue and Customs (Income Tax/Corporation Tax : Sub-Contractors In The Construction Industry): FTTTx 18 Dec 2018
FTTTx INCOME TAX – PAYE – employers end of year returns – late submission penalty – reasonable excuse – no – section 98A Taxes Management Act 1970 [2014] UKFTT 897 (TC) Bailii Taxes Management Act 1970 98A England and Wales Income Tax Updated: 21 December 2021; Ref: scu.536751
FTTTx Section 98A (2) and (3) Taxes Management Act 1970 – Employer’s End of Year return P35 late – agent failed to file return – whether reasonable excuse – no – appeal not allowed [2014] UKFTT 723 (TC) Bailii Taxes Management Act 1970 98A England and Wales Taxes Management Updated: 18 December 2021; Ref: scu.535338
A taxpayer’s inactive acquiescence in an inspector’s mistaken acceptance did not create an agreement which could restrain correction of the error. Times 25-Feb-1998 Taxes Management Act 1970 54 England and Wales Citing: Appealed to – Schuldenfrei v Hilton (Her Majesty’s Inspector of Taxes) CA 16-Jul-1999 Where an inspector issued an assessment to tax, but mistakenly … Continue reading Schuldenfrei v Hilton (Inspector of Taxes): ChD 25 Feb 1998
HL Income tax, Schedule E – Non-resident employer – Employees working in U.K. sector of North Sea – Whether employer liable to deduct tax from emoluments – Income Tax (Employments) Regulations 1973 – Income and Corporation Taxes Act 1970, s 181 and s 204 – Finance Act 1973, 5 38 – Continental Shelf Act 1964 … Continue reading Clark (Inspector of Taxes) v Oceanic Contractors Inc: HL 16 Dec 1982
Section 98A (2) and (3) Taxes Management Act 1970 – penalties for late employer’s end of year P35 return – Appellant assumed a ‘test’ submission was a live submission – whether reasonable excuse – no – appeal dismissed [2014] UKFTT 526 (TC) Bailii England and Wales Taxes Management Updated: 05 December 2021; Ref: scu.526868
UTTC Section 98A(2) and (3) Taxes Management Act 1970 – failure to file Employer’s End of Year P35 return on time – whether reasonable excuse – yes – appeal allowed [2014] UKFTT 470 (TC) Bailii Taxes Management Act 1970 England and Wales Taxes Management Updated: 03 December 2021; Ref: scu.525964
A notice issued by an inspector was not an agreement with the taxpayer. The tax inspector’s calculation of the taxpayers liability upon receipt of the self assessment form could not be sufficient top prevent later amendments to the self-assessment . .
The inspector appealed a finding that he was unable to challenge a self-assessment after the normal time limit.
Held: The Act allowed an exemption on the basis that the inspector ‘could not have been reasonably expected on the basis of the . .
RETURN – self-assessment -notice of intention to inquire into return – taxpayer practising as a solicitor – notice requiring taxpayer to produce clients’ ledger and clients’ cash book and certain documents to support the entries in both – whether . .
INCOME TAX – discovery assessment – tax avoidance scheme – ground of appeal against the quantum of assessment and not the efficacy of the scheme – ss 29 and 34 of Taxes Management Act 1970 – whether assessment validly made – pre-condition under s . .
The taxpayer company wanted to appeal an assessment to corporation tax. It applied for a postponment of some part of the tax pending the appeal. That was refused, and it appealed to the high court. The revenue now appealed that court’s decision . .
Auctioneers were required to report their trading returns to the Inland Revenue so as to show the income of the sellers. . .
Interest was not payable on a sum due under premature assessment to tax. . .
One of several partners may appeal against the firm’s tax assessment without his partners’ approval. . .
Losses which had been incurred in speculative non-commercial trading in shares and commodities were not ‘trade’ losses for income tax purposes, even though the tax payer intended to become involved in fund management as a career, and had intended . .
Section 98A (2) and (3) Taxes Management Act 1970 – Employer’s End of Year return – inaccurate P35 resubmitted late – not a reasonable excuse . .
The taxpayer company had been refused a statutory Construction Industry Scheme certificate. The General Commissioners allowed the company’s appeal and itself issued a certificate. The revenue said the Commissioners had no jurisdiction either to hear . .
The taxpayer made arrangement for the sale of securities in the form of loan notes with accrued income. It appealed a decision denying to the arrangement treatment of the full sum as capital.
Held: The appeal failed. The agreements provided . .
LT CAPITAL GAINS TAX- s47(1) of Taxes Management Act 1970 – valuation of half-share in house and garden – value as a vacant house – comparables – evidential value of anonymised comparables – whether adjustment to . .
The inspector had issued an assessment under the section to recover a tax rebate incorrectly made to the tax payer. The taxpayer appealed.
Held: The inspector claimed the repayment had been in error. The Act made that reclaim discretionary. . .
SCIT INCOME TAX – notices to produce documents and provide information – TMA 1970 s 19A – taxpayer agreeing to provide documents and information relating to income and claimed deductions – appeal stood over for . .
SCIT INCOME TAX – relief for error or mistake – TMA 1970 s 33 – whether part of claim out of time – yes – whether conditions for relief satisfied – motoring expenses – returns made on basis of actual cost but . .
SCIT Income tax – notice to taxpayer to produce documents in taxpayer’s possession or power – whether terms of notice reasonable – section 19A, Taxes Management Act 1970 . .
SCIT Income Tax – Schedule E – Benefit in kind – Whether expenses paid by company assessable as income of director – Apportionment of expenses – Income and Corporation Taxes Act 1988 ss.154, 156 – Discovery . .
SCIT NOTICE under s.19 TMA 1970 – whether information reasonably required – yes – notice confirmed . .
SCIT Corporation tax – late filing of company tax returns – penalty provisions – transitional provisions – whether fixed penalty under Schedule 18, paragraph 17 to the Finance Act 1998 for a third late filing of . .
INCOME TAX – out of time assessments – whether loss of tax attributable to fraudulent or negligent conduct of Appellant – yes – appeal dismissed – TMA 1970 s 36(1) . .
SCIT SELF-ASSESSMENT – Notice by the Inspector to the taxpayer calling for documents – Validity of notice – Acceptance by the Inspector that the notice had been complied with and that no penalties could be . .
The inspector disallowed a claim for enterprise investment relief, saying that not all the funds raised were to be used for a qualifying purpose.
Held: The proceeds of a share issue had been used in part to pay a dividend. The issue did not . .
The tax inspector had sought to re-open a tax assessment outside the time limit provided. He had discovered that a house had been given to the tax payer by his employers. The taxpayer said this had been discoverable from his self-assessment tax . .
Buxton LJ: ‘The issue therefore is one of simple statutory construction. Can the expression ‘payment’ when used in section 87 of the 1970 Act, or ‘pays’ when used both in section 246N(2) of the 1988 Act and section 239 of the 1988 Act, encompass a . .
The inspector of taxes had power to issue a notice requiring access to legally privileged material. The power given by the section included certain exceptions, and those were not to be extended. The special or general commissioners had no power to . .
Where the special commissioner had determined that the dispute had been concluded by agreement, the taxpayer was precluded from appealing that decision claiming an ‘error or mistke’ That issue was not one relating to the computation of profits in . .
Before the appeal had been concluded under section 45(3), one of the two commissioners was incapacitated. The taxpayer appealed the refusal of a de novo hearing and the replacement of the tax commissioner.
Held: The reconstitution of the panel . .
The thirty day time limit for the forwarding of a case stated is mandatory. The Court of Appeal has no discretion to extend the time limit. Millett LJ analysed the position by reference to the traditional dichotomy of directory or mandatory . .
Once a dispute on an assessment has been settled between the taxpayer and the Inspector, the taxpayer cannot subsequently appeal against refusal of relief for a claim of an error. There was no point of law in such an error. . .
Reduction of assessment for overcharge can only apply to wrong assessment. . .
References: [2014] UKFTT 470 (TC) Links: Bailii UTTC Section 98A(2) and (3) Taxes Management Act 1970 – failure to file Employer’s End of Year P35 return on time – whether reasonable excuse – yes – appeal allowed Statutes: Taxes Management Act 1970
1267 – 1278 – 1285 – 1297 – 1361 – 1449 – 1491 – 1533 – 1677 – 1688 – 1689 – 1700 – 1706 – 1710 – 1730 – 1737 – 1738 – 1751 – 1774 – 1792 – 1793 – 1804 – 1814 – 1819 – 1824 – 1828 – 1831 – 1832 … Continue reading Acts
Late payment surcharge – Whether reasonable excuse on the facts – No – Appeal dismissed – Section 59C Taxes Management Act 1970 . .
INCOME TAX – daily penalties for failure to file tax returns – authority of Parliament to legislate following accession of United Kingdom to European Communities – right to property – section 93(3) Taxes Management Act 1970 – appeal dismissed . .
Income Tax – Discovery Assessments -‘s.29 (6) Taxes Management Act 1970 – Information made available by third party. . .
Income Tax – Discovery Assessments -s.29 (6) Taxes Management Act 1970 – Information made available by third party. . .
Income Tax/Corporation Tax : Assessment/Self-Assessment – INCOME TAX – Self-Assessment returns – enquiry into 2015-16 and prior years from 2011-12 to 2014-15 – applications for closure notices – s 28A Taxes Management Act 1970 – whether enquiry . .
INCOME TAX – discovery assessments – ss 29, 34, 36 and 118 of Taxes Management Act 1970 – no returns filed for relevant years – information from police raid – interaction with reg 72 Income Tax (PAYE) Regulations 2003 – whether discovery of . .
Application for late appeal – assessment for income tax – HMRC refuse to accept late appeal – permission to appeal sought from Tribunal – no convincing grounds put forward by the appellant — leave to appeal refused – s 49 Taxes Management Act 1970 . .
Appeal against penalty imposed under s98 Taxes Management Act 1970 for failure of a specified employment intermediary to file return under PAYE Regulations 84E and 84F – whether Appellant was a specified employment intermediary – No – whether there . .
INCOME TAX – Surcharge on unpaid income tax (Taxes Management Act 1970 s.59C) – Whether a reasonable excuse for late payment – Appeal dismissed . .
(Income Tax/Corporation Tax : Penalty) Income tax – self assessment – late filing – proof of requirements of s8 Taxes Management Act 1970. Burden of Proof in Penalty cases. Inherent unreliability of HMRC’s Return Summary documents. . .
Discovery assessment – was tax return completed carelessly – was the existence and relevance of RTI information known to hypothetical officer – s29 Taxes Management Act 1970 . .
High income child benefit charge – discovery assessment -whether s 29(1)(a) Taxes Management Act 1970 can be construed as extending to discovery that respondent should have been assessed to income tax in respect of the high income child benefit . .
PROCEDURE – Excise duty assessment – Notice of Assessment – Identity of addressee – Application of s 114 Taxes Management Act 1970 – Application to make a late appeal – Martland considered and applied – Application dismissed . .
INCOME TAX – limited liability partnerships – Income Tax (Trading and Other Income) Act 2005, section 863 – whether HMRC had power to open enquiry under Taxes Management Act 1970, section 12AC – whether any enquiry should have been made under . .
UTTC INCOME TAX – relief for error or mistake – Section 33 Taxes Management Act 1970 – jurisdiction of the Upper Tribunal – whether decision of the Firsttier Tribunal gave rise to a right of appeal – no – appeal . .
INCOME TAX – Surcharge on late payment of income tax (Taxes Management Act 1970 s.59C) – Appeal allowed . .
Partnership return, section 12AA Taxes Management Act 1970 (‘TMA’) – late filing penalty, section 93A TMA – filing paper return after both paper and electronic deadline – failure of HMRC to provide free software for electronic filing of partnership . .
INCOME TAX – discovery assessments and penalties – appeal to HMRC made 20 months after assessments issued – HMRC refused to admit late appeal – Section 49(2) Taxes Management Act 1970 – whether Tribunal should grant permission for the appeal to HMRC . .
INCOME TAX – Whether a notice to file pursuant to s 8 of the Taxes Management Act 1970 requiring taxpayer to file a return was validly issued – yes – Rogers and Shaw considered and applied – Whether late payment penalty correctly assessed and . .
P35 return – Penalty for late return (Taxes Management Act 1970 s.98A) – Reasonable excuse – Appeal dismissed . .
INCOME TAX, JUDICIAL REVIEW – Whether adjustments made under s28B(4) of Taxes Management Act 1970 are ‘closure notices’ – whether requirements necessary for issue of accelerated payment notices met – whether HMRC entitled to issue a new accelerated . .
FTTTx Income Tax – Claimed under-payment of Income Tax under the PAYE Regulations – payments to part-time bar workers (generally students) – Penalties under section 98A(2)(a) Taxes Management Act 1970 for failing . .
Income tax – section 59C Taxes Management Act 1970-surcharge for late payment – reasonable excuse.
Held: reasonable excuse did not continue throughout period of default. Appeal dismissed. . .
FTTTx INCOME TAX – Taxes Management Act 1970 ss. 8, 9A, 9ZA, 19A, 28A, 42, 43 and 50(6) – Appeal against amendment made by a closure notice – burden of proof – Whether amendment to an ‘unsolicited’ tax return . .
CAPITAL GAINS TAX – late payment – first and second surcharges – section 59C Taxes Management Act 1970 – taxpayer allegedly misled by telephone advice from HMRC – whether reasonable excuse – no – appeal dismissed. . .
Taxes Management Act 1970 – Deposits to accounts in excess of declared CIS income – Discovery assessments raised – Appellant’s failure to provide explanation in relation to excess credits – Assessment upheld as valid – Appeal Dismissed . .
INCOME TAX – Penalty – Section 93A Taxes Management Act 1970 – late submission of partnership return – appeal submitted by a partner other than the ‘representative partner’ – whether Tribunal has jurisdiction to hear appeal – whether penalty invokes . .
FTTTx INCOME TAX – late filing penalties – reasonable excuse – no – appeal dismissed – section 93 Taxes Management Act 1970 . .
Income tax – Taxes Management Act 1970 ss. 29, 31 and 50(6)-Appeal against notice of further assessment-burden of proof-Appeal dismissed . .
FTTTx INCOME TAX – penalty for late filing of tax return – section 93 (2) Taxes Management Act 1970 – first and second surcharges under sections 59C (2) and (3) Taxes Management Act 1970 in respect of late . .
INCOME TAX-surcharge – second surcharge for late payment – Section 59C (3) Taxes Management Act 1970 – time to pay arrangement – arrangement cancelled – whether appellant notified – whether reasonable excuse – status of unsupported statements in . .
INCOME TAX – late payment surcharges – notification of change of address – reasonable excuse – sections 59B and 59C Taxes Management Act 1970 . .
Income tax — penalty — section 98A (2) (a) Taxes Management Act 1970 whether employers annual return Form P 35 filed online or test submission — whether reasonable excuse — whether prompt notification of time-based penalty . .
INCOME TAX – enquiry – absence of any accounting records – appellant’s evidence on amount of trading income and expenditure not credible – appeal dismissed – s28A Taxes Management Act 1970 . .
Penalty – Section 98A(2) and (3) Taxes Management Act 1970 – late Employer’s P35 End of Year Return – Appellant thought Return had been filed on-line – further delays despite reminders – no reasonable excuse . .
Section 98A(2) and (3) Taxes Management Act 1970 – late Employer’s P35 End of Year Return – Appellant says had difficulty obtaining on-line activation PIN from HMRC – whether reasonable excuse shown for period of default – whether affected by delay . .
Section 98A(2) and (3) Taxes Management Act 1970 – late submission of on-line Employer’s P35 End of Year return – no reasonable excuse – appeal not allowed . .
Section 98A(2) and (3) Taxes Management Act 1970 – late submission of on-line Employer’s P35 End of Year return – no reasonable excuse – appeal not allowed . .
Construction Industry Scheme-Penalties for late returns (Taxes Management Act 1970 s.98A)-Appeal dismissed . .
Income tax return-Penalty for late return (Taxes Management Act 1970 s.93(2))-Reasonable excuse-Appeal allowed . .
