The UT dismissed the taxpayers’ appeal on reasonable excuse in relation to information notice penalties. The UT found the FTT had erred in relation to quantum and directed further submissions.
The taxpayers were scheme administrators of pension schemes who had received information notices. Three tranches of daily penalties had been issued for non-compliance. The FTT found that the taxpayers’ reliance on legal advice did not on the facts amount to a reasonable excuse for failure to comply with the information notices. The UT upheld the FTT’s decision on this point, considering that a taxpayer must first exercise his own independent judgment, which would demonstrate the reasonable care taken in relying on the advice in question.
On quantum, the UT considered that the FTT had erred by referring to FA 2008 Sch 36 para 49A which was not applicable to information notices issued under para 1, directing further submissions within 21 days.
Calypso Blaj appeared for HM Revenue & Customs
You can read a copy of the judgment here.
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