Rincham Limited v Commissioners for Her Majesty's Revenue and Customs
Decision date: 18 October 2010
Neutral citation: [2010] UKFTT 502 (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
Rincham Ltd appealed against an HMRC information notice issued under s.20(8A) TMA, arguing compliance would be onerous and unlawfully broad (seeking subscriber details from 6 April 1998). The Tribunal found the notice not onerous, accepted that s.20(5)'s six‑year limit does not apply to s.20(8A) notices, applied the presumption of regularity to the Commissioner’s consent, but varied the notice to exclude documents generated after 4 September 2008. The notice was otherwise confirmed.
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
The Tribunal treated an appeal under s.20(8B) as confined to whether compliance would be "onerous" and held that where a discrete part of an information notice is disproportionate the correct remedy is to vary (excise or amend) that part rather than quash the whole notice. The Tribunal also applied the presumption of regularity to the Commissioner's procedural preconditions (consent) and accepted that s.20(5)'s six‑year limitation does not constrain s.20(8A) notices.
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 suggested it is unlikely that complying with a court‑authorised information notice will expose the recipient to actionable third‑party liability, and commented that an information notice should be read by a "sensible reader" so substantial vagueness will not be presumed where the notice targets the recipient’s stated business records.