White v Revenue & Customs [2012] UKFTT 364 (TC) (01 June 2012)

White v Revenue & Customs [2012] UKFTT 364 (TC) (01 June 2012)

The appellant was careless in failing to report the redundancy payment accurately, but the confusing information from her employer, her efforts to clarify, and the unusual circumstances constituted 'special circumstances' justifying a 60% reduction in the penalty. HMRC's decision was flawed for failing to consider...

Source-derived case information.

Citation
[2012] UKFTT 364 (TC)
Parties
Appellant: Patsy Barber White; Respondent: The Commissioners for Her Majesty’s Revenue & Customs
Jurisdiction
United Kingdom
Judgment Date
01 June 2012
Procedural Posture
Tax Penalty Appeal / First Tier Tribunal (tax Chamber) Decision
Outcome
Appeal allowed in part
Legal Topics
Income Tax, Penalties, Careless Inaccuracy, Special Circumstances, Suspension of Penalty
Tax Law Income Tax Penalties Careless Inaccuracy Special Circumstances Suspension of Penalty

Source-derived case record

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 3 Authorities cited 11 Party arguments 2 Amounts and remedies 6
Sign in to unlock

Parties

Patsy Barber White

Appellant

The Commissioners for Her Majesty’s Revenue & Customs

Respondent

Procedural Posture

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

Legal Issues

  1. 1 Whether the appellant was careless in failing to report the redundancy payment accurately on her tax return
  2. 2 Whether the penalty should be suspended under paragraph 14 of Schedule 24 Finance Act 2007
  3. 3 Whether there were 'special circumstances' justifying a reduction in the penalty under paragraph 11 of Schedule 24 Finance Act 2007

Ratio Decidendi

The appellant was careless in failing to report the redundancy payment accurately, but the confusing information from her employer, her efforts to clarify, and the unusual circumstances constituted 'special circumstances' justifying a 60% reduction in the penalty. HMRC's decision was flawed for failing to consider and give reasons regarding special circumstances.

Court Disposition

Appeal allowed in part

Orders

  • Penalty in respect of BSkyB inaccuracy confirmed
  • Penalty in respect of GMTV redundancy payment inaccuracy reduced by 60%