Swift Trading Worldwide Ltd v The Commissioners for HMRC

Decision date: 14 February 2025

Neutral citation: [2025] UKFTT 209 (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

Swift Trading appealed HMRC assessments denying part of its Coronavirus Job Retention Scheme (CJRS) claims for its sole director/employee, Mr Raza. The Tribunal held Swift was not entitled to CJRS for 1–18 March 2020 and that, for a fixed-rate employee, the reference salary is the amount payable in the latest salary period ending on or before 19 March 2020 (here £400), so later pay increases do not raise CJRS entitlement. The Tribunal dismissed the appeal and directed correction of assessments to HMRC’s revised figure (£21,483.81).

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

For fixed-rate employees the Directions require using the salary payable in the latest salary period ending on or before 19 March 2020 to determine the reference salary for CJRS; therefore post-19 March 2020 pay increases cannot be used to calculate entitlement.

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 expressed sympathy for the appellant’s personal and business circumstances but stated it must apply the Directions as drafted and cannot remake policy. It also noted that complaints about HMRC delay, fairness or public law remedies lie in judicial review proceedings in the High Court rather than the Tax Tribunal.