George Huntley v Commissioners for Her Majesty's Revenue and Customs
Decision date: 5 November 2010
Neutral citation: [2010] UKFTT 551 (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 appeal concerned whether the appellant proved £11,030 of travel and subsistence expenses in 2005–06 as wholly and exclusively incurred for self‑employment, and whether HMRC's related adjustments for 2002–03 and 2003–04 should stand. The tribunal found the claimed total unsupported, allowed reasonable subsistence of £8,610 for 2005–06 (£30/night accommodation; £5 lunch and £15 evening meal weekly), substituted a net adjustment of £2,420 for 2005–06, and recalculated proportional adjustments of £1,087 for 2003–04 and £1,476 for 2002–03; interest is payable and no penalties were imposed.
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
Where contemporaneous records are limited, a tribunal may assess reasonable subsistence by reference to the available documentary evidence (diaries, receipts, contractor/location records, bank withdrawals) and adopt reasonable per‑item allowances; the same factual approach may be applied proportionately to earlier years absent evidence of material difference between years.
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 procedural points: HMRC’s temporary refusal to produce a witness on asserted health-and-safety grounds was not justified by the correspondence and tribunals have procedural remedies (summons, referral to the Upper Tribunal); and use of a joint bank account for business purposes permits HMRC inspection of relevant entries in an enquiry. These observations were ancillary to the decision.