Case reports

Tax / FTT upholds APN non-payment penalty

A First Tier Tribunal (FTT) has dismissed an appeal from an investor in a film scheme against a penalty for failing to pay an amount specified in an accelerate payment notice (APN) by the due date because the sum he paid was allocated to a separate partner payment notice (PPN) for another scheme

Tax / APN claim for interim relief refused

A High Court judge has found in favour of HMRC in a preliminary ruling about whether applicants could seek interim relief from paying accelerated payment notices (APNs) or partner payment notices (PPNs), in a decision which the tax authority says will potentially safeguard more than £756m

Tax / Tax updates: April 2017

In our monthly review of tax cases, Sharon Khin reviews Ladbroke case over loan relationship rules, IHT dispute over sole and joint ownership in Lidher and deductible foreign exchange losses in Smith and Nephew, plus the introduction of the inheritance tax nil-rate band and penalties for Making Tax Digital

Tax / VAT updates: April 2017

In this month's VAT updates, Graham Elliott, director at City & Cambridge Consultancy, considers the cost sharing exemption in light of the Kokott interpretation, VAT on new house builders blocked in Taylor Wimpey and disappointing ruling on cultural services in BFI case 

Tax / HSBC chief loses closure notice bid over non-dom status

The tax status of Stuart Gulliver, HSBC group chief executive, has been put in the spotlight again following a procedural ruling at First Tier Tribunal (FTT), which found that HMRC is not bound by an earlier decision regarding his non-UK domicile status when considering his more recent tax returns

Tax / HMRC wins case over £26m tax in ‘The Queen’ film partnership scheme

The Court of Appeal has ruled in favour of HMRC in a long running legal battle over the use of film partnership schemes as tax avoidance, which acquired interest in the films The Queen and Polanski’s Oliver Twist, ruling that the partnerships were not trading so tax relief was not due

Tax / Companies lose case to deduct corporation tax on EBT payments

An appeal made by three companies to deduct corporation tax on contributions made to employee benefits trusts (EBTs) has been dismissed at a First Tier Tribunal (FTT), despite the on-going Rangers EBT case being introduced in favour of the defendants

Tax / Crest Nicholson fails to build case over £1.29m SDLT claim

A First Tier Tribunal (FTT) has ruled against a stamp duty land tax (SDLT) avoidance scheme used by FTSE 250 housebuilder Crest Nicholson, requiring the company to pay £1.29m in tax deemed to be due

Tax / Irish businessman loses £4.3m tax refund bid on backgammon win

Irish businessman and racehorse owner J P McManus has lost a battle in the US courts over his claim that $5.2m (£4.25m) of US tax withheld on his gambling winnings from a game of backgammon should be refunded under the US-Ireland double tax avoidance treaty

Tax / Top QC fails in third bid to reduce £1m-plus tax penalties

A leading barrister has failed in his latest appeal to an Upper Tribunal in a long running dispute about over more than £1m of penalties imposed by HMRC for his failure to comply with three information notices, two relating to income tax and one in connection with inheritance tax relating to the estate of his late father

Tax / Martin Clunes loses tax appeal anonymity claim

Former Men Behaving Badly star and TV celebrity Martin Clunes has lost his case at a First Tier Tribunal (FTT) to keep his name and details private in a forthcoming tax appeal over whether the actor is entitled to set the cost of cosmetic surgery against his earnings in the calculation of his income tax liability

Tax / VAT updates: March 2017

The latest VAT rulings with implications for businesses include late VAT registration in Taylor Construction, overseas agents' supplies in Newcastle University case and business or not at issue in Gravel Road Records, writes Graham Elliott, director at City & Cambridge Consultancy 

Tax / Tax updates: March 2017

In this month's tax updates we review tax cases from Barreto and unexplained income to O'Mara and payment surcharges, allowable expenses for MP's local office, the rise in car tax rates for new vehicles over £40k and HMRC to dump Verify service

Tax / Tax avoidance scheme investor loses tribunal penalty appeal

A solicitor who invested in the Liberty 2 tax avoidance scheme, and who was seeking to appeal against penalties imposed by HMRC for late payment of an accelerated payments notice (APN) on the grounds of ill health, has lost his case at the First Tier Tribunal (FTT)

Tax / Ladbrokes loses case over £71m tax avoidance scheme

Ladbrokes has lost its long running legal battle with HMRC over the use of a tax avoidance scheme promoted by Deloitte, with the failure of its latest appeal to the Upper Tribunal set to cost the high street bookie £71m