Dawn Fidler v The Commissioners for HMRC
[2024] UKFTT 946 (TC)
Leslie Gordon v The Commissioners for HMRC
5 September 2024
[2024] UKFTT 807 (TC)
First-tier Tribunal
Someone tried to appeal late against a tax bill, over 500 days late. The judge said the delay was too long, there was no good excuse, and their chances of winning were slim. The appeal was thrown out because it was too late.
Key Facts
- •Appellant's late appeal against a closure notice issued on 3 November 2021 amending his SDLT return to charge 5% SDLT on £1,025,000.
- •Appeal made on 17 November 2023, 524 days after the statutory deadline.
- •HMRC refused consent to the late appeal.
- •The case involved an avoidance scheme in a property transaction, claiming code 28 relief (sub-sale relief under s 45 FA 2003).
- •A 2015 revenue determination was vacated following the Supreme Court decision in Project Blue v HMRC.
Legal Principles
Three-stage test for late appeals: (1) assess seriousness of delay; (2) reason for delay; (3) evaluate all circumstances and balance prejudice to parties.
Martland v R & C Comrs [2018] UKUT 178 (TCC)
Importance of finality in litigation and adherence to statutory time limits.
BPP Holdings v R & C Comrs [2017] SC 55; Data Select Ltd v R & C Comrs [2012] STC 2195
Sub-sale relief under s 45 FA 2003 is not available if the option to purchase is not exercised before completion of the original transaction.
Fanning v R & C Comrs [2023] EWCA Civ 263
The First-tier Tribunal (FTT) has no supervisory jurisdiction over HMRC's conduct.
R & C Comrs v Hok Ltd [2012] UKUT 363 (TCC); Rotberg v R & C Comrs [2014] UKFTT 657 (TC); Marks & Spencer plc v C & E Comrs [1999] STC 205
Outcomes
Application for permission to make a late appeal refused.
The delay of 524 days was serious and significant. No good reason was given for the delay. The Appellant was aware of the deadline and the appeal process. The grounds of appeal were weak in light of Fanning v R & C Comrs. The balance of prejudice favored refusing the application.