Concryl Ltd v Revenue and Customs (VAT - PENALTIES : Default surcharge) (Rev 1) [2016] UKFTT 673 (TC) (07 October 2016)

Concryl Ltd v Revenue and Customs (VAT - PENALTIES : Default surcharge) (Rev 1) [2016] UKFTT 673 (TC) (07 October 2016)

The appellant did not have a reasonable excuse for late payment as the bank transfer limit was known and alternative arrangements could have been made. The penalty imposed is not disproportionate according to binding precedent. The surcharges were correctly applied and the appeal is dismissed.

Citation
[2016] UKFTT 673
Parties
Appellant: Concryl Ltd; Respondents: The Commissioners for Her Majesty’s Revenue and Customs
Jurisdiction
United Kingdom
Judgment Date
07 October 2016
Procedural Posture
VAT Default Surcharge Appeal / First Tier Tribunal (tax) Final Judgment
Outcome
Appeal dismissed
Legal Topics
VAT, Default Surcharge, Reasonable Excuse, Proportionality of Penalties
Tax Law VAT Default Surcharge Reasonable Excuse Proportionality of Penalties

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 2 Authorities cited 6 Party arguments 2 Amounts and remedies 4
Sign in to unlock

Parties

Concryl Ltd

Appellant

The Commissioners for Her Majesty’s Revenue and Customs

Respondents

Procedural Posture

VAT Default Surcharge Appeal / First Tier Tribunal (tax) Final Judgment

Legal Issues

  1. 1 Whether the appellant had a reasonable excuse for late VAT payment
  2. 2 Whether the penalty imposed was disproportionate

Ratio Decidendi

The appellant did not have a reasonable excuse for late payment as the bank transfer limit was known and alternative arrangements could have been made. The penalty imposed is not disproportionate according to binding precedent. The surcharges were correctly applied and the appeal is dismissed.

Court Disposition

Appeal dismissed

Orders

  • Surcharges for VAT periods 09/14 and 12/14 upheld