Singh & Kainth t/a Western News v The Commissioners for HMRC

Decision date: 16 January 2023

Neutral citation: [2023] UKFTT 43 (TC)

Overall AI summary confidence: high

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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 an application to admit a late appeal against a VAT best-judgement assessment of £58,310 issued 10 February 2017, where the appellant did not notify an appeal until 22 September 2021. The Tribunal found the nearly two-and-a-half-year delay to be very substantial, rejected the appellant's explanations (reliance on their agent and perceived ongoing dialogue with HMRC), and refused permission for the late appeal despite an arguable case that the assessment might be excessive. The decision records the appellant's right to seek permission to appeal to the Upper Tribunal.

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 very substantial delay in seeking permission for a late appeal (well beyond a few months) is prima facie serious and requires strong, clear reasons to justify granting permission; vague assertions that an agent handled matters or that there was ongoing dialogue with HMRC are insufficient, and the ultimate responsibility to ensure an appeal is lodged rests with the appellant.

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 that HMRC internal visit notes suggesting a possible over-assessment can give rise to an arguable case, but such speculative or unsupported notes have limited weight in the permission exercise. HMRC’s agreement to review an assessment during proceedings may be relevant background information but does not by itself determine whether a late appeal should be permitted.