Latest by Robert Waterson

Blog

Graham: taxpayer successfully appeals against APN penalty

Published on 11 January 2019. By Robert Waterson, Partner

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In Kevin Graham v HMRC [2018] UKFTT 661 (TC), the First-tier Tribunal (FTT) allowed the taxpayer's appeal against a penalty imposed by HMRC for non-payment of an accelerated payment notice (APN).

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Blog

Atherley - qualifying loan write off created an allowable loss

Published on 08 October 2018. By Robert Waterson, Partner

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In Douglas Atherley v HMRC [2018] UKFTT 0408 (TC), the First-tier Tribunal (FTT) has found that the taxpayer's partial writing-off of a loan made to a company of which he was the sole shareholder, created an allowable loss under section 253(3), Taxation of Chargeable Gains Act 1992 (TCGA).

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Blog

Armstrong: Tribunal cancels late filing penalties

Published on 10 September 2018. By Robert Waterson, Partner

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In Armstrong v HMRC [2018] UKFTT 0404 (TC), the First-tier Tribunal (FTT) has cancelled late filing penalties because the taxpayer had not consented to receive penalty notices electronically.

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Publication

Corporate tax update

Published on 31 August 2018. By Ben Roberts, Senior Associate and Adam Craggs, Partner and Robert Waterson, Partner

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Welcome to the latest edition of our Corporate Tax Update, written by members of RPC’s tax team and published quarterly. In this second 2018 edition we highlight some of the key tax developments of interest to UK corporates from the second quarter of 2018.

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Blog

Tager – Court of Appeal allows taxpayers' appeals and reduces penalties for failure to comply with information notices

Published on 31 July 2018. By Robert Waterson, Partner

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In Tager & Ors v HMRC [2018] EWCA Civ 1727, in allowing the taxpayers' appeals, the Court of Appeal has provided some general observations on the scope and purpose of HMRC's power to impose tax-related penalties under paragraph 50, Schedule 36, Finance Act 2008 for failures to comply with information notices issued under paragraph 1, Schedule 36, Finance Act 2008.

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Blog

Bell - The importance of selecting the correct forum when alleging unfairness on the part of HMRC

Published on 05 July 2018. By Robert Waterson, Partner

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In J Bell v HMRC [2018] UKFTT 261 (TC), the taxpayer's appeal was struck out by the First-tier Tribunal (FTT), because it does not have jurisdiction to consider issues of public law.

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Blog

Dundas: out of time capital allowance claims become valid due to HMRC opening enquiries

Published on 06 June 2018. By Robert Waterson, Partner

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In Dundas Heritable Limited v HMRC [2018] UKFTT 0244 (TC), the First-tier Tribunal (FTT) has held that a taxpayer was entitled to make, what would otherwise have been out of time capital allowance claims, as a result of HMRC opening enquiries.

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Blog

Sippchoice Ltd: Taxpayer can claim income tax deduction for contribution in specie to SIPP

Published on 04 May 2018. By Robert Waterson, Partner

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In Sippchoice Ltd v HMRC [2018] UKFTT, the First-tier Tribunal (FTT) has held that a taxpayer can obtain tax relief at source in respect of contributions made to s Self-Invested Pension Plan (SIPP) settled in the form of unquoted shares.

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Blog

Value Added – New VAT "joint liability" risk for online marketplaces

Published on 30 April 2018. By Robert Waterson, Partner and Jani Ihalainen, Paralegal

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The flow of goods cross-border has increased significantly as a result of the inexorable rise of the online marketplace. Policing the tax aspect of online businesses has created numerous difficulties for national authorities. In no area is this felt more than VAT, where many online traders (both inside and outside the EU) have opted wittingly or otherwise to evade tax by simply not registering or accounting for VAT in any jurisdiction.

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Blog

Goldsmith - late filing penalties cancelled by the Tribunal

Published on 05 March 2018. By Robert Waterson, Partner

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In David Goldsmith v HMRC [2018] UKFTT 0005 (TC), the First-tier Tribunal (FTT) has cancelled late filing penalties issued to the taxpayer as the statutory requirements in section 8(1), Taxes Management Act 1970 (TMA), had not been satisfied and HMRC did not have the power to require the taxpayer to deliver self-assessment returns.

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Blog

Barclays Wealth Trustees - normal meaning to apply to 'settlement' for IHT purposes

Published on 11 December 2017. By Robert Waterson, Partner

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In Barclays Wealth Trustees (Jersey) Ltd and Michael Dreelan v HMRC [2017] EWCA Civ 1512, the Court of Appeal has confirmed that inheritance tax will not apply in circumstances where a transfer between excluded property settlements takes place after a settlor becomes domiciled in the UK.

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Blog

McGreevy – Tribunal describes HMRC's argument as "clap trap" in late filing case

Published on 17 October 2017. By Robert Waterson, Partner

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In R McGreevy v HMRC [2017] UKFTT 0690 (TC), the First-tier Tribunal (FTT) allowed a non-resident taxpayer's appeal against a penalty for the late filing of her non-resident CGT (NRCGT) return on the basis that she had a reasonable excuse.

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Blog

Hickey Plant Hire - Taxpayer successfully challenges HMRC's narrow reading of penalty rules

Published on 07 September 2017. By Robert Waterson, Partner

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In M J Hickey Plant Hire and Contracts Ltd v HMRC [2017] UKUT 308 (TCC), the Upper Tribunal (UT) allowed the taxpayer's appeal and in a carefully considered judgment sets out the correct approach to the penalty rules applicable to 'normal' and 'delayed tax' cases, contained in Schedule 24, Finance Act 2007 (FA 2007).

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Blog

Derry – HMRC prevented from collecting tax in avoidance case

Published on 25 July 2017. By Robert Waterson, Partner

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In R (ota of James Derry) v HMRC [2017] EWCA Civ 435, the Court of Appeal, in allowing the taxpayer's appeal, confirmed that HMRC is not able to ignore a claim for carried back loss relief where the taxpayer has self-assessed and computed his liability to tax.

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Blog

Pitcher - Tribunal finds in favour of taxpayer in APN penalty appeal

Published on 19 June 2017. By Robert Waterson, Partner

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In Graham Pitcher [2017] UKFTT 0406 (TC), the First-tier Tribunal (FTT) allowed the taxpayer's appeal against a penalty for non-payment of an Accelerated Payment Notice (APN) due to defects in the APN.

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Blog

Budget 2017 Amendments to the QROPS Regime - a Further Breach of EU Law

Published on 08 May 2017. By Robert Waterson, Partner

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Back in October 2013, I wrote an article for the Tax Journal (18 October 2013, The QROPS Regime and EU Law) in which I argued that the operation of the qualifying recognised overseas pension scheme (QROPS) system, introduced by Finance 2004, breached EU law and was unlawful. The recent changes introduced by the 2017 Budget not only preserve the inherent unlawfulness which has existed in the system since at least October 2008 but introduces a further breach of EU law rights. The background to the October 2013 article was my involvement in representing individuals who had transferred their UK pensions into a fund called ROSIIP.

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Blog

SIPP scheme administrator avoids 'pension liberation' tax charge

Published on 04 April 2017. By Robert Waterson, Partner

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In HMRC v Sippchoice Ltd [2017] UKUT 87 (TCC) the Upper Tribunal (UT) has upheld the decision of the First-tier Tribunal (FTT) that Sippchoice should not be subject to scheme sanction charges but said that the FTT's reference to MTIC case law in assessing the evidential burden was incorrect.

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Blog

Timing and detail critical in misfeasance claims against HMRC

Published on 22 February 2017. By Robert Waterson, Partner

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The claimant taxpayer, who had been wrongly convicted for cheating the public revenue, had his claim of misfeasance in public office against HMRC struck out by the High Court because it was brought too late and he had failed adequately to plead his case.

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Blog

Tribunal finds for the taxpayer in "income" versus "capital" payment dispute

Published on 11 January 2017. By Robert Waterson, Partner

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In James Allan Thornton v HMRC [2016] UKFTT 767 (TC), the First-tier Tribunal (FTT) considered the distinction between income and capital payments in the context of a settlement relating to rental property and held that a settlement payment made to a landlord as compensation for dilapidations to his property was a capital receipt.

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Blog

Partial success for taxpayer in Dutch-subsidiary quantification judgment following FII

Published on 28 October 2016. By Robert Waterson, Partner

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In Six Continents Ltd and Another v HMRC [2016] EWHC 2426 (Ch), the High Court held that the claimants are entitled to a credit at the foreign nominal rate (FNR) of corporation tax in respect of dividends paid from a Dutch subsidiary but are not entitled to a credit in respect of dividends linked to the return of share capital.

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Blog

Tribunal allows set-off of corporation tax loss against income tax profit

Published on 14 September 2016. By Robert Waterson, Partner

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In English Holdings Ltd v HMRC [2016] UKFTT 0346 (TC), the First-tier Tribunal (FTT) allowed an appeal by a non-UK resident company against a decision of HMRC refusing its claim to offset losses arising in its UK permanent establishment (PE) against profits earned by its UK property rental business.

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Blog

Harry Potter star loses £1m battle with HMRC

Published on 25 August 2016. By Robert Waterson, Partner

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The First-tier Tribunal (FTT) has held that a taxpayer's new accounts did not meet the requirements of section 217, Income Tax (Trading and Other Income) Act 2005 (ITTOIA), for a change in accounting date, as the accounts did not exist when HMRC were notified of the change.

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Blog

Taxpayer succeeds on penalties issue in Pendulum scheme

Published on 10 August 2016. By Robert Waterson, Partner

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In a recent case the First-tier Tribunal (FTT) has found that a taxpayer was not fraudulent or negligent in the completion of his tax return when relying on the advice of his professional advisors.

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Blog

Court of Appeal confirms that HMRC must comply with rules and directions issued by the tax tribunals

Published on 23 March 2016. By Robert Waterson, Partner

The following is based on an article first published in Tax Journal on 8 March 2016.

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Blog

Tribunal allows company's appeal and confirms that the four-year time limit does not apply to corporation tax self-assessment returns

Published on 08 January 2016. By Robert Waterson, Partner

In Bloomsbury Verlag GmbH v HMRC [2015] UKFTT 660 (TC),the First-tier Tribunal (Tax and Chancery) (FTT) has held that the four-year time limit does not apply to corporation tax self-assessment returns and that trading losses can be carried forward even though they were not included in a return.

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Blog

Tribunal finds HMRC's actions unconscionable

Published on 16 September 2015. By Robert Waterson, Partner

In John Clark v HMRC[1], the First-tier Tribunal (FTT) has found that special relief, in terms of paragraph 3A, Schedule 1AB, Taxes Management Act 1970 (paragraph 3A), ought to have been granted to a taxpayer who suffered from serious learning difficulties.

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Blog

Searching Requirements when applying for Search Warrants

Published on 27 August 2015. By Robert Waterson, Partner

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The Divisional Court (Davis LJ and Hickinbottom J) has confirmed, in [2015] EWHC 1283 (Admin), that state agencies applying for search warrants have a duty to make full disclosure to the court and the court should take an inquisitive approach when considering any such application.

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Blog

Entrepreneurs' relief not available for disposal of syndicate capacity by a Lloyd's name

Published on 31 July 2015. By Robert Waterson, Partner

In Carver v HMRC [2015] UKFTT 0168 (TC), the First-tier Tribunal (FTT), has provided helpful guidance on the key requirements of entrepreneurs' relief (ER), under section 169H, Taxation of Chargeable Gains Act 1992 (TCGA).

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Blog

Taxpayer not careless in share options case

Published on 16 July 2015. By Robert Waterson, Partner

In Alistair Norman v HMRC1, the First-tier Tribunal ("FTT") found that a taxpayer who wrongly recorded gains made after exercising a share option granted by his employer as capital, rather than income, was not "careless" for the purposes of paragraph 1(1), Schedule 24, Finance Act 2007.

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Blog

Excuses, excuses – Tribunal considers 'reasonable excuse' and allows taxpayer appeal

Published on 25 June 2015. By Robert Waterson, Partner

In Barking Brickwork Contractors Limited v HMRC[1], the First-tier Tribunal ("FTT") decided that a taxpayer had a reasonable excuse for late filing and set aside the penalties which had been charged by HMRC pursuant to Schedule 55, Finance Act 2009.

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Blog

Court of Appeal issues guidance on the meaning of "sham" in pension scheme case

Published on 07 May 2015. By Robert Waterson, Partner

In R v Quillan and others [2015] EWCA Crim 538, a complex fraud case, the Court of Appeal, in ruling that there was no case to answer, provided some helpful comments on the requirements of "sham".

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Blog

Tax avoidance scheme succeeds before the Upper Tribunal

Published on 04 March 2015. By Robert Waterson, Partner

In Tower Radio Limited and another v HMRC[1], the taxpayers successfully utilised a scheme which was designed to take advantage of Part 7 of the Income Tax (Earnings and Pensions) Act 2003 (ITEPA).

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Blog

Out of court settlement may lead to adjustment in CGT liability

Published on 05 February 2015. By Robert Waterson, Partner

The Court of Session has found in favour of the taxpayer in Sir Fraser Morrison v HMRC[1] ...

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Blog

Tribunal orders HMRC to pay taxpayer's costs – Ian Elder v HMRC

Published on 07 November 2014. By Robert Waterson, Partner

The decision of the First-tier Tribunal (Tax Chamber) ('FTT') in Ian Elder v Commissioners for HMRC[1] offers a useful summary of the FTT's approach on the assignment of appeals to the Complex category ...

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Blog

Tribunal orders HMRC to pay taxpayer's costs – Ian Elder v HMRC

Published on 07 November 2014. By Robert Waterson, Partner

The decision of the First-tier Tribunal (Tax Chamber) ('FTT') in Ian Elder v Commissioners for HMRC[1] offers a useful summary of the FTT's approach on the assignment of appeals to the Complex category, applications to bar a party from participating in proceeding and costs sanctions.

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Blog

GMAC's strategy for limiting VAT payments proved lawful in ECJ

Published on 16 October 2014. By Robert Waterson, Partner

The following is taken from an article by Robert Waterson and Nigel Brook, originally published in International Tax Review (12 September 2014).

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Blog

Treading uneven boards: VAT claims and setoff – Birmingham Hippodrome Theatre Trust Ltd v HMRC [2014] EWCA Civ 684

Published on 14 August 2014. By Robert Waterson, Partner

The Court of Appeal's decision in this case is likely to create a great deal of uncertainty for taxpayers seeking to recover unlawfully levied VAT from HMRC.

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Blog

The Rangers Case and EBTs

Published on 31 July 2014. By Robert Waterson, Partner and Adam Craggs, Partner

The following was taken from a longer article by Robert Waterson and Adam Craggs originally published in Tax Journal (25 July 2014, pp16-17, www.taxjournal.com).

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Blog

An enquiry is as an enquiry does – HMRC's narrow interpretation of what constitutes an enquiry is rejected by the Upper Tribunal

Published on 17 July 2014. By Robert Waterson, Partner

The recent case of Portland Gas Storage Limited v The Commissioners for HMRC [2014] UKUT 0270 (TCC), considered two important questions: what is an enquiry? and what is a decision?

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