Application to make late appeal

The taxpayer was a car repairer. He had been in business since 2005 but had never submitted tax returns. This was because he believed that having never taken more than £180 a week out of the business he did not have an obligation to register for self-assessment or submit returns.

In 2014 he was subject to a compliance visit from HMRC. He had few business records and although he said he would provide what he did have to HMRC nothing was sent.

HMRC estimated the profits from his business and in June 2015 issued assessments based on those estimates.

The taxpayer did not appeal against them. He said he had assumed that HMRC knew what it was doing and simply started to pay the tax due until he could no longer afford to. HMRC threatened bankruptcy proceedings and bailiffs were instructed to enter his business...