The recent FTT case of Vitol Aviation Ltd v HMRC provides useful lessons on HMRC information notices and closure notice applications, particularly in the context of DPT enquiries. The FTT judged that a closure notice can be required without every line of enquiry being pursued to the end. HMRC may stipulate the format of an information request, but the stipulation must be reasonably required. Once HMRC has enough information to exercise reasonable judgement, the enquiry should be closed. The existence of ongoing DPT reviews did not bar closure notice applications, and once made, the onus was on HMRC to demonstrate grounds for refusal.
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The recent FTT case of Vitol Aviation Ltd v HMRC provides useful lessons on HMRC information notices and closure notice applications, particularly in the context of DPT enquiries. The FTT judged that a closure notice can be required without every line of enquiry being pursued to the end. HMRC may stipulate the format of an information request, but the stipulation must be reasonably required. Once HMRC has enough information to exercise reasonable judgement, the enquiry should be closed. The existence of ongoing DPT reviews did not bar closure notice applications, and once made, the onus was on HMRC to demonstrate grounds for refusal.
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