Taxation logo taxation mission text

Since 1927 the leading authority on tax law, practice and administration

Too late?

09 August 2016
Issue: 4562 / Categories: Tax cases

Mr XYZ (TC5157)

Submission of VAT returns four years after issue of central assessments

The taxpayer failed to submit returns for four quarters. HMRC used its best judgment powers (VATA 1994 s 73(1)) to issue estimated assessments for about £47 500.

The returns were submitted on 29 July 2014. They showed a difference in the return liability and assessments of about £43 000 overpaid.

HMRC refused to repay the difference saying the taxpayer was out of time under s 80(4) and the assessments could not be adjusted.

The taxpayer appealed on the ground of his ill health and said the estimated assessments were ‘unreasonably excessive and punitive’.

The First-tier Tribunal said the language of s 80(4) was ‘clear and unambiguous’. There was no statutory basis which would authorise HMRC to extend the time limit. Further the taxpayer’s illness was not relevant particularly as it appeared from the evidence that he was...

If you or your firm subscribes to, please click the login box below:

If you are not a subscriber but are a registered user or have a free trial, please enter your details in the following boxes:

Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this item in full.

Please reach out to customer services at +44 (0) 330 161 1234 or '' for further assistance.

back to top icon