Tian Chai Chen v HMRC

In Tian Chai Chen v HMRC [2014] UKFTT 848 (27 August 2014) the FTT dismissed an application to appeal out of time.

Mr Chen contended that assessments issued by HMRC in November 2011 were excessive; however he had not appealed until November 2013. Mr Chen’s counsel explained that Mr Chen who cannot read English had relied totally on his former accountant and had not been aware of any issue until a charge for payment had been served by Sheriff Officers.

The FTT observed that reliance on a third party can constitute a reasonable excuse but that a taxpayer must act ‘with reasonable prudence and diligence in dealing with his tax affairs’. The FTT also noted that the discretion to allow a late appeal is wider than the discretion which applies in relation to reasonable excuse for the purpose of specific legislation.

The FTT found ...