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LEGITIMATE-EXPECTATION


The courts are reluctant to tie HMRC down to its assurances unless made in the clearest and most unambiguous circumstances, as a recent case illustrates. 

Mark Whitehouse and Peter Halford (PwC Legal) consider Whipple J’s judgment in R (oao Hely-Hutchinson) v HMRC. This important decision is likely to significantly curtail HMRC’s power to depart from published guidance. 
 
‘They also pay who only sit and wait…’ Michael Conlon QC and Julian Hickey (Temple Tax Chambers) examine the High Court decision in Rowe on the legality of partner payment notices.
 

HMRC will be able to depart from its own guidance if it believes that tax avoidance might be involved, as the decision in Samarkand illustrates. Jeanette Zaman and Owen Williams (Slaughter and May) consider the uphill struggle that taxpayers could face to prove they have a substantive legitimate expectation.

Practical clarity is needed on when HMRC is bound by its own guidance. A recent discussion paper is a useful starting point for timely debate, writes Rupert Shiers (Hogan Lovells)

Taxpayers increasingly need to rely on statements made by HMRC which do not have the force of law, such as HMRC clearances given to a taxpayer or HMRC guidance. In this back-to-basics guide, Christopher Harrison and David Stainer (Allen & Overy) provide an overview of the principles which govern a taxpayer’s ability to rely on written statements by HMRC, particularly on legitimate expectation.

Adam Craggs (RPC) takes a look at the First-tier Tribunal decision in Rotberg, and the extent of the tribunal’s jurisdiction

Kevin Smith and Richard Doran look at the effect on taxpayers challenging HMRC by judicial review

Angela Savin reviews the decision of the Upper Tribunal in Noor, and explains why we are back to where we were before Oxfam.

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