Taxpayer cannot distance itself from advisers

The taxpayer was the personal services company of a former rugby player. It provided his services as a pundit mainly to Sky. After a lengthy dispute with HMRC as to whether IR35 applied the department issued assessments concluding that it did. These included a covering letter setting out the taxpayer’s rights of appeal and included a statement that an appeal had to be made in writing to the First-tier Tribunal within 30 days.

The taxpayer’s agents did not notify the tribunal although they did inform HMRC – within that time limit - that they would be making an appeal. The company owner became dissatisfied with the agents and appointed new agents who on making enquiries found that the previous agents had not lodged an appeal with the tribunal. The new agents therefore made an application to the tribunal for permission to bring a late appeal.

The...