Was there a reasonable excuse for the non-payment of an APN?
In Sheiling Properties v HMRC [2018] UKFTT 247 (1 May 2018) the FTT found that a genuine belief that judicial review proceedings against advance payment notices (APNs) had a good prospect of success did not amount to a reasonable excuse for their non-payment.
Sheiling had entered into arrangements notified under DOTAS under which it had made payments to two directors in return for those directors incurring obligations to subscribe for partly paid shares in the company. HMRC issued determinations under The Income Tax (Pay As You Earn) Regulations SI 2003/2682 reg 80. The company appealed against the determinations and HMRC agreed to postpone the PAYE due in March 2016 but issued APNs) in July 2016. The company did not pay the APNs and started judicial review proceedings. HMRC issued penalties.
Sheiling’s tax advisers had...
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Was there a reasonable excuse for the non-payment of an APN?
In Sheiling Properties v HMRC [2018] UKFTT 247 (1 May 2018) the FTT found that a genuine belief that judicial review proceedings against advance payment notices (APNs) had a good prospect of success did not amount to a reasonable excuse for their non-payment.
Sheiling had entered into arrangements notified under DOTAS under which it had made payments to two directors in return for those directors incurring obligations to subscribe for partly paid shares in the company. HMRC issued determinations under The Income Tax (Pay As You Earn) Regulations SI 2003/2682 reg 80. The company appealed against the determinations and HMRC agreed to postpone the PAYE due in March 2016 but issued APNs) in July 2016. The company did not pay the APNs and started judicial review proceedings. HMRC issued penalties.
Sheiling’s tax advisers had...
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