The Disappointment of Winning
Our firm recently won a case at the Tribunal or, to use the more formal language of the Courts, the Tribunal decided a case in favour of our client. You would think that we would be celebrating – but we...
tax tribunal
Statutory Review into ‘unfair’ Loan Charge
The Loan Charge, as part of the 2017 Finance Act (No. 2), was introduced by the Treasury to recover unpaid taxes by individuals who have used ‘disguised remuneration’ schemes - a complex form of tax avoidance involving contractors, employees or...
The Turn of the Taxation Tide
Despite popular legend to the contrary, most tax advisers try not to be overly critical of HMRC – and this is especially true of those who specialise in the arenas of tax disputes and tax enquiries, many of whom have...
When an appeal becomes unappealing
When a UK taxpayer receives an Assessment or Determination or Penalty Notice from HMRC, typically their adviser will encourage them to appeal on the grounds that “You’ve got nothing to lose by appealing”. Unfortunately, in some instances, that can be...
If you’re gonna do it do it right- insurance policy meant for company protection assessed as director’s benefit in kind
My apologies to the late George Michael but the case of Macleod and Mitchell Contractors Limited and William Mitchell v HMRC demonstrates the importance of always checking documents carefully and making sure they do what they are meant to do....
ATED return penalty drastically reduced due to HMRC errors but others may not be so lucky
Chartridge Developments Ltd (Chartridge), [2016] UKFTT 766 (TC), has had penalties for failure to submit its ATED returns on time significantly reduced due to errors on the part of HMRC but other companies may not be so lucky. The case...
Mr Tooth Bites Back
The Taxes legislation has long reserved the heaviest penalties for the taxpayer with the most heinous behaviour – so that there is a heavier penalty for the taxpayer who deliberately evades his tax than there would be if he got...
Pine v HMRC – The costs of Justice prevent Justice
Anyone familiar with the UK Courts system will be aware that there may be instances where the costs of taking a case to Court may deter an appellant from pursuing a case to get the decision that they believe is...
Entrepreneurs’ relief anomaly claims another victim in J K Moore v HMRC
The unfortunate case of John Kenneth Moore v HMRC [2016] TC04903 in the First Tier Tribunal (FTT) shows how important it is to structure transactions correctly to take account of the poor drafting of the entrepreneurs’ relief (ER) legislation. This...
QCB conversion scheme fails for the Hancocks at the Upper Tribunal (UT)
HMRC have won their appeal against the decision of the First-tier Tribunal that a scheme contrived to turn CGT-taxable non-QCBs into non-taxable QCBs was effective in Hancock v HMRC [2014] UKFTT 695 (TC) Mr. and Mrs. Hancock exchanged shares in their...
Compensation for lost pension rights on employment transfer not taxable- Reid v HMRC
The First Tier Tribunal case of Reid v HMRC concerns the tax treatment of a payment made under a compromise agreement on the transfer of employment under the Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE). Background to the...
Voluntary tax return not subject to enquiry and penalties- HMRC own goal
The First Tier Tribunal (FTT) has found that HMRC cannot enforce collection of tax included in a notice of closure or penalties for careless inaccuracy where a return is filed without HMRC having first issued a valid notice requiring a...
Vaines pursuit: HMRC’s successful appeal denies partner relief for personal business expenses
The Upper Tribunal (UT) has reversed the decision of the First Tier Tribunal (FTT) in Revenue & Customs v Vaines [2016] UKUT 2, ruling that Peter Vaines (PV) was not entitled to a deduction for the cost of settling a...
Proposed tax tribunal fees could be a barrier to justice
The Ministry of Justice (MoJ) has largely ignored the overwhelmingly negative responses to its consultation that included introducing, for the first time, fees for access to the tax tribunals. Objectors to the fees included individuals, professional bodies and the senior...
Special relief is a great relief to Mr Scott
A taxpayer who had got seriously behind with his tax affairs has obtained last-ditch relief because the Tribunal decided it would have been unreasonable and excessive for HMRC to refuse to reduce assessments under the special relief rules. The story...