In Jazztel v HMRC [2017] EWHC 677 (3 April 2017) the High Court found that FA 2004 s 320 should be disapplied in relation to specific claims in order to counter effect the ‘hidden retrospectivity’ of the provision.
Under FA 1986 ss 93 and 96 the transfer of chargeable securities into a clearing house or a depositary receipt was subject to a higher SDRT charge of 1.5% (as opposed to the standard 0.5% on other transfers). This charge was held to be incompatible with EU law by the CJEU in HSBC Holdings (Case C-569/07).
Jazztel had paid the SDRT higher charge prior to its having been declared unenforceable under EU law; and its claim was the test claim for the purposes of resolving some of the remaining issues in the Stamp Taxes Group Litigation. This decision was concerned with Jazztel’s mistake claim. In order to establish its claim...
