Taxpayer was responsible for submitting wrong returns

The taxpayer appealed against two personal liability notices (PLNs) which related to penalties for corporation tax and VAT inaccuracies. He was the sole director and shareholder of a company which had been placed in creditors voluntary liquidation. Before this HMRC had carried out an investigation and found various discrepancies.

The First-tier Tribunal said given the long period during which the company failed to provide the statutory records to the accountants for completion of the VAT returns corporation tax returns and company accounts it agreed with HMRC that there was a deliberate act on the part of the company to conceal those records. The taxpayer had given a ‘degree of co-operation latterly’ but the penalties imposed were in accordance with the legislation.

On the PLNs the tribunal was satisfied that the taxpayer was solely responsible for the compliance of the company. He admitted having taken the steps...