Stockler v HMRC

The decision in Stockler v HMRC (CA – 30 July) is the latest instalment of a saga which began when the Special Commissioners held that a firm of solicitors had been guilty of ‘negligent conduct’ within TMA 1970 s 30B(5) (see 2007 SSCD 99). HMRC subsequently issued a penalty determination under TMA 1970 s 95. The solicitors applied to the Ch D for a declaration that because their appeal against the Commissioners’ decision had been settled by an agreement under Civil Procedure Rules 1998 SI 1998/3132 rule 36 (under which they had agreed to pay the full amount of tax sought by HMRC) HMRC should be precluded from seeking penalties. The Ch D rejected this contention and dismissed the application (see [2008] STC 2070). Following this decision the senior partner (S) made a further appeal to the...