TMA discovery rules on SA returns

KEY POINTS

• The discovery rules in TMA 1970 s 29 date from the introduction of self assessment.
• HMRC must prove it is entitled to raise an assessment because a tax underpayment has been discovered.
• The test in s 29(5) is what the officer could be expected to know from information provided by the taxpayer.
• Level of an officer’s reasonable knowledge and understanding.

For many years I have been involved with the Central London Small Practitioners Group of Chartered Accountants. Nowadays this is primarily a tax discussion group – probably because the agenda tends to feature topics I have come across in the previous month that I think would be of wider interest. One of our members Nathan Steinberg is Mr Cooke’s accountant. He wanted to fight the case but recognised that the...