Too late

An employer had failed to meet his PAYE obligations. He did not appeal against HMRC determinations in respect of the outstanding tax and National Insurance neither did he pay them.

Eventually HMRC obtained a bankruptcy petition against the employer.

At this stage the employer applied for permission to lodge an appeal out of time on the ground that the assessment was grossly excessive and based on incorrect information. HMRC refused.

On appeal to the General Commissioners they applied the balance of prejudice test but decided that the out-of-time appeal should not be permitted.

The taxpayer applied successfully for judicial review.

However the General Commissioners again ruled that the late appeal should not proceed. While there was merit in the taxpayer’s case the conditions of TMA 1970 s 49 were not satisfied.

The taxpayer applied for judicial review again saying the commissioners’...