In M Kensall v HMRC [2023] UKFTT 11 (TC) (21 December 2022) the FTT dismissed the taxpayer’s (K’s) appeal against discovery assessments in respect of the high income child benefit charge (HICBC) but allowed his appeals against penalties for failure to notify his liability to the charge. Despite dismissing the appeals the judge asked that HMRC consider exercising its care and management powers to discharge the assessments as a result of their conduct of K’s case.
HMRC issued discovery assessments to the taxpayer in April 2021 in respect of the HICBC for three years together with penalty assessments under FA 2008 Sch 41 for his failure to notify liability to the charge for those years. K contacted HMRC in response to the assessments and was told that he could appeal against the penalties but not the HICBC assessments. In May 2021 he therefore appealed against the penalties. Subsequently...
