Shaw v Revenue & Customs [2014] UKFTT 325 (TC) (01 April 2014)

Shaw v Revenue & Customs [2014] UKFTT 325 (TC) (01 April 2014)

The Tribunal found insufficient evidence that red diesel was unlawfully used, as HMRC failed to provide tested fuel samples. Even if red diesel was used, the Tribunal accepted Mr Shaw’s evidence that the tractor was used for agricultural purposes, making it an excepted vehicle. The assessments were based on manifestly incorrect assumptions regarding the hour meter and usage. The deeming provisions did not apply due to lack of proper seizure evidence. The appeal was allowed and the assessment and penalty set aside.

Citation
[2014] UKFTT 325
Parties
Appellant: Charles Shaw; Respondents: The Commissioners for Her Majesty’s Revenue & Customs
Jurisdiction
United Kingdom
Judgment Date
01 April 2014
Procedural Posture
Tax Appeal / First Tier Tribunal (tax Chamber) Substantive Decision
Outcome
Appeal allowed
Legal Topics
Excise Duty, Hydrocarbon Oil, Red Diesel, Agricultural Vehicles, Vehicle Classification, Assessment of Duty, Forfeiture, Restoration of Vehicle
Tax Law Customs and Excise Excise Duty Hydrocarbon Oil Red Diesel Agricultural Vehicles Vehicle Classification Assessment of Duty +2 more

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Parties

Charles Shaw

Appellant

The Commissioners for Her Majesty’s Revenue & Customs

Respondents

Procedural Posture

Tax Appeal / First Tier Tribunal (tax Chamber) Substantive Decision

Legal Issues

  1. 1 Whether the tractor was an 'excepted vehicle' entitled to use red diesel under Hydrocarbon Oil Duties Act 1979
  2. 2 Whether the assessment of excise duty was correctly calculated
  3. 3 Whether the deeming provisions regarding forfeiture applied

Ratio Decidendi

The Tribunal found insufficient evidence that red diesel was unlawfully used, as HMRC failed to provide tested fuel samples. Even if red diesel was used, the Tribunal accepted Mr Shaw’s evidence that the tractor was used for agricultural purposes, making it an excepted vehicle. The assessments were based on manifestly incorrect assumptions regarding the hour meter and usage. The deeming provisions did not apply due to lack of proper seizure evidence. The appeal was allowed and the assessment and penalty set aside.

Court Disposition

Appeal allowed

Orders

  • Assessment of £9,883 set aside
  • £250 restoration fee to be refunded to Mr Shaw