David George Davies v The Commissioners for HMRC
Decision date: 25 July 2024
Neutral citation: [2024] UKFTT 704 (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 Mr David Davies’ application for permission to bring an appeal out of time against HMRC income tax assessments and penalties issued 9 October 2019. The First-tier Tribunal applied the usual three-stage test (length of delay; reasons for delay; balancing all circumstances) and found the delay (over two and a half years) to be serious and significant. The Tribunal rejected the reasons advanced (reliance on an unreliable agent, COVID, ill-health and literacy) as not amounting to a good reason and refused permission for a late appeal.
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 statutory discretion using a three-stage approach: assess the length of the delay, examine the reasons for the delay, and conduct an overall balancing exercise including prejudice. It held that reliance on an agent and factors such as COVID or ill‑health will not necessarily constitute a “good reason” where the appellant was aware of non‑compliance, had appointed a new agent earlier, and could have taken steps to ensure progress.
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 remarked that the merits of the underlying appeal should normally not be explored in detail when deciding whether to grant an extension, except where the appeal is plainly hopeless or overwhelmingly strong; and that shortage of funds or being a litigant in person are generally weak explanations for missing time limits.