Application for penalty allowed due to non-attendance

The taxpayer company had as at 23 May 2022 raised £150 000 under the seed enterprise investment scheme (SEIS) and £8 616 540 under the enterprise investment scheme (EIS).

In August 2022 HMRC contacted the company’s agent and the sole director of the company stating that the last approved compliance statement for shares issued on 3 April 2022 showed that relevant investments made in the company in the relevant year exceeded the statutory maximum.

In February 2023 HMRC issued a statutory information notice under ITA 2007 s 242 to the company requiring various documents. Despite a reminder from HMRC in August 2023 the company failed to respond.

HMRC therefore made an application to the First-tier Tribunal to determine that HMRC could impose a £300 penalty under TMA 1970 s 98(1)(b)(i).

In September 2024 the tribunal issued an unless order. This...