London Clean Limited v The Commissioners for HMRC

London Clean Limited v The Commissioners for HMRC

The tribunal found that the appellant's accountant was able to prepare and submit the VAT return on time, and any queries did not affect the return. The main reason for late payment was distraction due to business pressures, which does not amount to a reasonable excuse. The surcharge was properly imposed.

Parties
Appellant: London Clean Limited; Respondents: The Commissioners for Her Majesty’s Revenue and Customs
Jurisdiction
England and Wales
Judgment Date
09 June 2022
Procedural Posture
Tax Appeal / Judgment
Outcome
Appeal dismissed
Legal Topics
VAT, Default Surcharge, Reasonable Excuse
Tax Law VAT Default Surcharge Reasonable Excuse

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 1 Authorities cited 6 Party arguments 2 Amounts and remedies 2
Sign in to unlock

Parties

London Clean Limited

Appellant

The Commissioners for Her Majesty’s Revenue and Customs

Respondents

Procedural Posture

Tax Appeal / Judgment

Legal Issues

  1. 1 Whether the appellant had a reasonable excuse for late VAT payment for period 06/21

Ratio Decidendi

The tribunal found that the appellant's accountant was able to prepare and submit the VAT return on time, and any queries did not affect the return. The main reason for late payment was distraction due to business pressures, which does not amount to a reasonable excuse. The surcharge was properly imposed.

Court Disposition

Appeal dismissed

Orders

  • The surcharge of £604.81 is upheld.