BTR Core Fund JPUT v The Commissioners for HMRC
[2024] UKFTT 885 (TC)
L-L-O Contracting Ltd Ors v The Commissioners for HMRC
13 October 2023
[2023] UKFTT 859 (TC)
First-tier Tribunal
Several people missed the deadline to claim a tax break (MDR). Even though they didn't intentionally miss it, the tax office (HMRC) said they made a 'mistake' and couldn't get the money back. The court agreed with HMRC.
Key Facts
- •Multiple appellants paid SDLT and later claimed Multiple Dwellings Relief (MDR).
- •Claims were made under Sch 10 para 34, not within the 12-month time limit for amending SDLT returns as per s 58D(2) and Sch 10 para 6(3).
- •HMRC refused the claims, citing Sch 10 para 34A Case A (mistake in failing to make a claim).
Legal Principles
MDR must be claimed in an SDLT return or amendment within 12 months.
Finance Act 2003, s 58D(2), Sch 10 para 6(3)
HMRC is not liable to give effect to an overpayment claim (Sch 10 para 34) if it falls under Case A of para 34A (mistake in failing to make a claim).
Finance Act 2003, Sch 10 para 34A
The meaning of 'mistake' in Sch 10 para 34A considers the purpose of the provision; ignorance can constitute a mistake.
R (oao of PACCAR Inc) v Competition Appeal Tribunal [2023] UKSC 28, Finance Act 2003, Sch 10 para 34A
Outcomes
Appeals struck out.
Appellants' claims failed because Case A of Sch 10 para 34A applied. Their failure to claim MDR within the statutory timeframe was a 'mistake', even if unintentional, precluding relief under para 34.