Tribunal’s jurisdiction after HMRC withdraws notices

In July 2024 HMRC issued the taxpayers three notices of requirement to give security – two for income tax and National Insurance and one for VAT. On 17 October the taxpayers made a late appeal to the First-tier Tribunal a copy of which they sent to HMRC. They also applied for a review of the notices and made a time-to-pay proposal.

The next day HMRC withdrew all the notices of requirement.

The tribunal was unaware that HMRC had withdrawn the notices and issued directions to both parties. HMRC told the tribunal that the notices had been withdrawn so there were no matters under appeal. It asked the tribunal to strike out the appeals.

The taxpayers said this would be an ‘abuse of the proper procedure of the tribunal’. In effect the appeal had been successful because HMRC had withdrawn the notices. The taxpayer requested a...