Lands Luo Limited v The Commissioners for HMRC
Decision date: 9 October 2025
Neutral citation: [2025] UKFTT 1207 (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
Lands Luo Ltd sought permission for a late appeal against HMRC's 13 October 2023 VAT decision disallowing input tax; the Tribunal found an 8 November 2023 email was only a request for an extension and that a purported 9 November 2023 handwritten letter was not shown, on the balance of probabilities, to have been posted in time. Applying the three-stage test (length of delay; reasons for delay; all the circumstances) and the stricter approach, the Tribunal recognised the delay as serious but granted permission to appeal out of time after balancing the circumstances, noting HMRC subsequently made substantive repayments.
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 applied the established three-stage test for late-permission applications under VATA s.83G(4)(c) (length of delay; reasons for delay; all the circumstances including prejudice) and endorsed use of the stricter approach from the authorities, cross-checking against alternative formulations; it held that an internal inconsistency in an HMRC decision letter can be a relevant factor indicating a potential merits issue that may weigh in favour of granting permission.
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 (obiter) that differences in emphasis between Upper Tribunal authorities on weighting the factors would rarely change outcomes because results are case-specific, and that HMRC revisiting its position and making substantive repayments after a late-appeal application can reduce prejudice to HMRC and be material in the permission exercise.