Accelerated payment notices were validly issued

The taxpayer Exclusive Promotions Ltd (EPL) had taken part in tax planning arrangements. HMRC issued accelerated payment notices (APNs) which the taxpayer challenged by way of judicial review in the High Court. It also appealed to the First-tier Tribunal against penalties and surcharges for failing to pay the notices on time.

In the First-tier Tribunal EPL’s appeal was heard with that of another taxpayer Mark Fox. In his case during that hearing HMRC withdrew some of the surcharges which left him facing a liability of less than £200. Although the First-tier Tribunal dismissed Mr Fox’s appeal in relation to the two penalties he decided not to join EPL in an appeal to the Upper Tribunal.

The Upper Tribunal considered two questions – was there a valid determination on representations raised by EPL objecting to the APNs? And if there was did...