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Taking Opportunities from Change in 2009

© Copyright LexisNexis 2024. All rights reserved.

17 March 2009 / Rebecca Cave

Issue: 4198 / Categories: Events

TaxAid conference, 27 February 2009. Reported by REBECCA CAVE, director of Taxwriter Ltd

Speakers

Derek Allen: director of taxation for ICAS
Gordon Wiseman: HMRC

What is reasonable care?

Under the new penalty regime that applies from 1 April 2009 taxpayers will have to show they have taken reasonable care in making a tax related decision to avoid a penalty.

‘Reasonable care’ is not defined in the legislation. Derek Allen understands that the HMRC approach to establishing reasonable care will be akin to the negative of ‘negligence’ as defined in Blyth v Birmingham Waterworks Co (1856) 11 Ex 781 when Baron Alderman said that ‘negligence is the omission to do something which a reasonable man guided upon those considerations which ordinarily regulate the conduct of human affairs would do or doing something which a prudent and reasonable man would not do’.

So reasonable care is doing what a prudent reasonable man would do in the...

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Taking Opportunities from Change in 2009

© Copyright LexisNexis 2024. All rights reserved.

17 March 2009 / Rebecca Cave

TaxAid conference, 27 February 2009. Reported by REBECCA CAVE, director of Taxwriter Ltd

Speakers

Derek Allen: director of taxation for ICAS
Gordon Wiseman: HMRC

What is reasonable care?

Under the new penalty regime that applies from 1 April 2009 taxpayers will have to show they have taken reasonable care in making a tax related decision to avoid a penalty.

‘Reasonable care’ is not defined in the legislation. Derek Allen understands that the HMRC approach to establishing reasonable care will be akin to the negative of ‘negligence’ as defined in Blyth v Birmingham Waterworks Co (1856) 11 Ex 781 when Baron Alderman said that ‘negligence is the omission to do something which a reasonable man guided upon those considerations which ordinarily regulate the conduct of human affairs would do or doing something which a prudent and reasonable man would not do’.

So reasonable care is doing what a prudent reasonable man would do in the...

If you or your firm subscribes to Taxation.co.uk, please click the login box below:

If you are not a subscriber but are a registered user or have a free trial, please enter your details in the following boxes:

Subscribe Now...

Alternatively, you can register free of charge to read a limited amount of subscriber content per month.

Once you have registered, you will receive an email directing you back to read this item in full.

Please reach out to customer services at +44 (0) 330 161 1234 or 'customer.services@lexisnexis.co.uk' for further assistance.

Issue:

4198

Categories: Events [1]

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