Michael Golding v Commissioners for Her Majesty's Revenue and Customs
Decision date: 8 April 2011
Neutral citation: [2011] UKFTT 232 (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 concerned whether a Ferrari owned by Huntington Antiques Ltd was "made available" to its director/employee Michael Golding for benefit‑in‑kind tax purposes. The Tribunal accepted Mr Golding's unchallenged evidence that he made no personal use of the car, which had been acquired as a track/marketing vehicle and held for sale, and concluded it was not made available to him in his employment. The assessment so far as it related to the Ferrari was discharged and the appeal allowed.
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
A company vehicle that is acquired and used as a marketing/track asset or held for sale is not necessarily "made available" to a director/employee; on the facts here, where the car was primarily used for marketing, stored and maintained by third parties, insured/taxed only for limited periods, and there was credible unchallenged evidence of no personal use, the vehicle was not provided for the employee's personal use and so did not give rise to a benefit in kind.
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 statutory provisions identifying circumstances when a car is to be regarded as made available do not themselves determine the factual question of availability; evidence such as insurance, MOT/mileage records and storage/use are relevant but must be assessed in context (for example, where a car is held for sale or used as a marketing tool).