PBS Wholesale Limited v The Commissioners for HMRC
Decision date: 14 February 2025
Neutral citation: [2025] UKFTT 210 (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
PBS Wholesale Ltd and Mr and Mrs Baczmaga sought permission to file seven late appeals against HMRC decisions; delays ranged 255–601 days. The Tribunal applied the three‑stage Martland test, found the asserted failings of former solicitors (KMB) were not proven to justify the delays, noted unexplained delay after instructing new solicitors, and refused permission to notify the appeals late.
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: medium
The Tribunal applied the Martland three‑stage test (length of delay; reasons for the default; and balancing merits and prejudice) when considering permission for late appeals and held that where an appellant relies on the failings of former advisers to explain a lengthy delay, the appellant remains responsible and must produce convincing evidence to displace that general rule; absent such evidence, long unexplained delays do not justify admitting late appeals.
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 expressed scepticism that potential large financial consequences alone warrant overlooking significant unexplained delay and noted that if an appellant were actively misled by advisers that might be a relevant exception, but there was no evidence of active misleading in this case.