P Groves (TC6541)
In October 2015 HMRC sent the taxpayer a P800 calculation for 2014-15 showing an underpayment of £166.80. A voluntary payment letter was sent in January 2016 asking him to arrange settlement otherwise the sum would be collected through self assessment.
The taxpayer failed to respond so HMRC sent him a notice to file a return. He did not file the return so HMRC imposed penalties.
The taxpayer appealed.
The First-tier Tribunal said the circumstances were similar to Lennon (TC6453). As in that case HMRC had identified the underpayment and did not need to serve a notice to file a return to establish the amount. The notice was in any event invalid because it had not been given for the purpose of TMA 1970 s 8 – which was to establish a person’s chargeability to tax. Since it was invalid the taxpayer was not obliged to...
Please reach out to customer services at +44 (0) 330 161 1234 or 'customer.services@lexisnexis.co.uk' for further assistance.