Practical points 2018 - Budgets and legislation
- Publish date: 16 January 2018
- Archived on: 01 January 2019
Guidance from ICAEW's Tax Faculty for practitioners on the latest UK Budget and legislation, including the latest Finance Bills and Acts. These brief practical points are published each month in the faculty's magazine TAXline.
In Cresswell v HMRC TC06274, HMRC served a personal liability notice (PLN) for the sum of around £208,000 against the taxpayer, being 50% of a penalty assessed against the company of which he was a former officer. The penalty was overturned as no inaccuracy had been identified by HMRC.
The facts were that following enquiries into the VAT returns of We Are Electricals Limited (WE), HMRC raised assessments and reduced credit claims totalling approximately £660,000. Holding that the behaviour leading to the inaccuracies in the VAT returns was deliberate and concealed, HMRC also issued a penalty assessment in the sum of £416,414.