Martin Stone v Commissioners for Her Majesty's Revenue and Customs
Decision date: 30 July 2010
Neutral citation: [2010] UKFTT 414 (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 appeal concerned penalties assessed against Mr Stone for failing to file monthly CIS returns from May 2007 to October 2009. The Tribunal found Mr Stone suffered serious chronic illness and that HMRC did not send the required monthly CIS return forms; taken together these facts amounted to a reasonable excuse for non‑filing. The appeal was allowed and the penalties (total £31,800) were quashed.
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 held that where a statutory return must be made on a form sent by the authority, the authority’s failure to send that form can constitute a reasonable excuse for non‑filing; serious and prolonged illness can also contribute to a reasonable excuse, particularly when combined with such an external failure.
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 observed it was borderline whether Mr Stone’s medical condition alone would have been a reasonable excuse, given he handled some business matters; it also commented that once a taxpayer is registered HMRC bears responsibility to send prescribed forms and taxpayers should not be required to chase them.