In H A Patel and K Patel v HMRC (TC03305 – 3 February 2014) the issue was whether documents which were the object of an information notice (TMA 1970 Sch 36) were within the ‘possession or power’ of the taxpayers.
The documents were in the possession of trustees of a remuneration trust of which the taxpayers were the settlors. The taxpayers had sent a letter to the trustees requesting the documents in October 2012; however having had no reply they had not chased the trustees until a year later in October 2013. The trustees had then refused the request on the ground that the information requested was ‘highly sensitive and confidential’.
However the tribunal noted that the taxpayers had been able to obtain substantial loans from the trustees and the evidence suggested that the trustees responded promptly to communications by the taxpayers. Furthermore the trust...
90a1d87b-c1b5-43c3-a720-cd324830adee.tmb-editorspic.jpg?sfvrsn=1b2d0a7e_1)
