Missing bank statement caused non-compliance

The taxpayer received an information notice (FA 2008 Sch 36 para 1) from HMRC requiring various documents including bank statements. The Revenue imposed a penalty because the taxpayer had not complied with the notice.

The taxpayer’s accountants said they had requested the statements from the two banks. All but one of these were received and submitted to HMRC by the deadline set in the notice. The missing statement had been omitted by the bank by mistake but the accountant sent it to HMRC when he received it.

The First-tier Tribunal agreed that the taxpayer had not complied with the information notice because of the missing statement. However he found the taxpayer had acted as a reasonable business person wishing to comply. He contacted the banks in good time to request the correct documents. There was not enough time for him to contact the bank again when it...