Schedule 55 penalty regime back in the spotlight

Key points

• In Harrison the Upper Tribunal upheld the First-tier Tribunal decision that Mr Harrison failed to file his self assessment deliberately withholding information which would permit HMRC to assess his liability to tax.
• The First-tier Tribunal held that Mr Harrison’s difficult circumstances did not establish a lack of capability or capacity during the period from late 2015 to September 2018.
• The Upper Tribunal upheld the FTT’s decision that there was no reasonable excuse or special circumstance.
• Perhaps one of the most interesting aspects of the Upper Tribunal’s decision is its reliance on Peter Griffiths v TUI which may have the effect that the importance of cross-examination before the FTT is diminished.

In Matthew Harrison v CRC [2022] UKUT 216 (TCC) the Upper Tribunal upheld the First-tier Tribunal (FTT) decision that Mr Harrison failed to file his self assessment and thereby deliberately withheld information which would permit...