David Beales v The Commissioners for HMRC
Decision date: 26 January 2023
Neutral citation: [2023] UKFTT 386 (TC)
Overall AI summary confidence: high
Short overview
This short overview is intended to summarise the case, issues and outcome so far as they are supported by the judgment.
AI confidence in this short overview: high
This case concerns HMRC's application to lift a stay of Mr Beales' appeal about three tax assessments for 2015/16–2017/18 in light of Finance Act 2022 s.97 amendments. The Tribunal examined Mr Beales' pre-30 June 2021 correspondence (notably his 3 May 2020 letter) and found he had not by that date raised the specific issue that any assessment was invalid because it did not relate to discovery of income which ought to have been assessed. Consequently the three assessments were held to be "relevant protected assessments" and the stay was lifted.
Ratio decidendi
This summary is intended to identify the ratio decidendi, meaning the legal reasons for deciding and the binding part of the decision.
AI confidence in this ratio decidendi summary: high
For subsection 97(5)(a) to exclude an appeal from the amended test, the appellant must have raised, on or before 30 June 2021, the specific issue that the assessment is invalid because it did not relate to discovery of income which ought to have been assessed; general or different challenges (for example, alleging “staleness” or delay) do not suffice as the same issue.
Obiter dicta
This summary is intended to identify obiter dicta, meaning observations made by the way that were not necessary to deciding the case and are not binding.
AI confidence in this obiter dicta summary: medium
The Tribunal noted (obiter) that the statutory context and purpose of s.97 (responding to Wilkes) informs construction but does not displace the plain requirement that the specific issue be raised by the specified date; and that staying appeals pending higher court decisions remains generally appropriate where outcomes could affect appeals, but may be unnecessary where the FA 2022 amendments apply and the higher litigation cannot affect the appeal.