Assessments were protected

The taxpayer was liable to the high income child benefit charge (HICBC) for the years 2015 to 2020 but did not register for self assessment or notify liability to the change. 

HMRC wrote to the taxpayer in February 2021 about this failure and on 22 February 2021 he spoke to HMRC. On 9 March 2021 HMRC raised assessments and penalties and the taxpayer appealed a few days later.

The First-tier Tribunal considered as a preliminary issue whether or not the assessments were ‘protected’. 

Following the decision in Wilkes that the HICBC is not income for the purposes of the discovery rules the legislation was amended retrospectively to allow discovery assessments to be raised in HICBC changes. 

However where an appeal had been made on or before 20 June 2021 in which the taxpayer had raised the point that the assessment is invalid ‘as a...