Conchri Investments Limited v The Commissioners for HMRC

Decision date: 28 May 2025

Neutral citation: [2025] UKFTT 600 (TC)

Overall AI summary confidence: high

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Short overview

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AI confidence in this short overview: high

Conchri Investments Ltd appealed Schedule 55 penalties of £15,700 for late ATED returns. The Tribunal held that statutory penalties apply even where no ATED tax is due, rejected the company's reliance on its accountants and HMRC not having notified it as reasonable excuses, found no special circumstances to reduce penalties, and dismissed the appeal, confirming the penalties.

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

The Tribunal's dispositive ratio is that reliance on a third‑party adviser (such as an accountant) does not constitute a "reasonable excuse" under Schedule 55 and that the absence of a tax liability does not by itself amount to "special circumstances" justifying reduction or discharge of the statutorily prescribed penalties.

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 parties should present all relevant material at first instance and that late attempts to adduce additional evidence after a determination are generally not permitted (reflecting finality/Henderson v Henderson principles). It also noted HMRC has no general obligation to notify taxpayers of filing requirements and taxpayers are expected to consult available guidance.

Warning

- The chunk contains substantial repetition and duplicated passages; care was taken to avoid repeating identical material.