Embiricos case and partial closure notes

The idea of partial closure notices was first announced in the 2014 Autumn Statement. When I first saw the announcement I tweeted a cautious welcome to it: ‘Flexible closure notices seem like a good idea – both for HMRC and taxpayers. Can they be implemented properly? One can but hope.’

What particularly attracted me to the concept of partial (or flexible) closure notices was a situation I had encountered on many occasions. To illustrate let’s say that Melissa’s 2010 tax return has been under enquiry since late 2011. In the course of the enquiry she has had numerous aspects of her return investigated in detail. However since 2014 HMRC’s ongoing attention has focused on one or two discrete matters.

Although it can be inferred that HMRC no longer had any concerns in relation to the matters no longer being pursued there has been no...