Wai Yau Chan v Commissioners for Her Majesty's Revenue and Customs
Decision date: 25 January 2011
Neutral citation: [2011] UKFTT 84 (TC)
Overall AI summary confidence: medium
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: medium
The Appellant, sole proprietor of a restaurant, applied for a closure notice to end an HMRC enquiry into his 2008 self‑assessment return after disputes over Schedule 36 information notices and delays in providing documents. The Tribunal refused the closure notice, finding there were reasonable grounds to keep the enquiry open (notably missing material information and late provision of bank statements), and ordered the outstanding appeal against the amended Schedule 36 notice to be listed for hearing. No costs were awarded.
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
A closure notice should not be directed where reasonable grounds exist to continue an enquiry; such grounds include absence of material information and the taxpayer’s failure or delay in providing supporting documents necessary to check the return. A change of representative and consequent delay in supplying requested information can legitimately justify continuing an enquiry rather than issuing a closure notice.
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 indicated that successful review or amendment of Schedule 36 notices does not automatically require issuing a closure notice if other matters remain outstanding, and that late admission of an error together with late submission of supporting bank statements weighs against directing a closure notice.
Warning
This chunk contains repeated and duplicated passages making parts of the narrative somewhat noisy. notes contain some repetition and duplicated passages; they may be somewhat noisy but appear to set out the key findings.