Mithras (Wine Bars) Ltd v HMRC

Administration and appeals: Tribunal jurisdiction

In Mithras (Wine Bars) Ltd v HMRC (Upper Tribunal – 16 April) HMRC issued assessments on a company (M) which operated two wine bars and six delicatessens. The First-Tier Tribunal upheld the assessments holding inter alia that 30% of the sales from the delicatessens were standard-rated and that 70% qualified for zero-rating. M appealed to the Upper Tribunal contending that the First-Tier Tribunal had erred in holding that its jurisdiction was supervisory rather than appellate and that it should have given more detailed consideration to the quantum of the assessments. The Upper Tribunal remitted the case to the First-Tier Tribunal for rehearing holding that the First-Tier Tribunal 'should have exercised a full appellate jurisdiction and decided for itself the correct amount of the tax'.

Why it matters: The Upper Tribunal criticised the First-Tier Tribunal for...