Substitution permitted

HMRC opened an enquiry into the taxpayer business’s 2006/07 partnership return and into W’s tax return in respect of a claim he made for relief losses. He was a partner in the taxpayer firm.

The Revenue issued a closure notice in June 2011 in relation to the partnership return denying a claim to first-year allowances. The taxpayer appealed but no progress was made for some time.

W applied in May 2013 to continue the appeal in his name as a member of the partnership. The tax department opposed the application saying he had no authority to pursue the appeal on behalf of the taxpayer.

The First-tier Tribunal noted that W had not been authorised by the taxpayer undertake the appeal even though other members of the partnership were happy him to do so.

The tribunal said it did not have the power to grant the...