Butt v Revenue and Customs (LATE APPEAL - Martland considered - length of delay serious and significant) [2023] UKFTT 295 (TC) (09 March 2023)

Butt v Revenue and Customs (LATE APPEAL - Martland considered - length of delay serious and significant) [2023] UKFTT 295 (TC) (09 March 2023)

The delay of 327 days was serious and significant, and the reasons given for the delay (awaiting further information from HMRC) were not good reasons. There was no credible explanation for the long gaps in communication or the failure to appeal within the statutory time limit. The prejudice to HMRC and the public interest in finality and efficient litigation outweighed any prejudice to the appellant. Permission to appeal out of time was refused.

Citation
[2023] UKFTT 295 (TC)
Parties
Appellant: Rizwan Butt; Respondents: The Commissioners for His Majesty’s Revenue and Customs
Jurisdiction
United Kingdom
Judgment Date
09 March 2023
Procedural Posture
Tax Penalty Appeal (late Appeal Application) / Application for Permission to Appeal Out of Time
Outcome
Application for permission to appeal out of time refused for the 31 March 2021 penalty; appeal not admitted. Permission granted for late appeal against 25 November 2021 penalty.
Legal Topics
VAT Penalties, Late Appeal, Tribunal Procedure, Personal Liability of Company Officers
Tax Law Administrative Law VAT Penalties Late Appeal Tribunal Procedure Personal Liability of Company Officers

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 9 Party arguments 2 Amounts and remedies 3
Sign in to unlock

Parties

Rizwan Butt

Appellant

The Commissioners for His Majesty’s Revenue and Customs

Respondents

Procedural Posture

Tax Penalty Appeal (late Appeal Application) / Application for Permission to Appeal Out of Time

Legal Issues

  1. 1 Whether the appellant should be granted permission to appeal out of time against a company officer liability decision notice under section 69D VATA 1994
  2. 2 Whether the length and reasons for delay justify admitting the late appeal
  3. 3 Assessment of prejudice to parties and public interest in finality

Ratio Decidendi

The delay of 327 days was serious and significant, and the reasons given for the delay (awaiting further information from HMRC) were not good reasons. There was no credible explanation for the long gaps in communication or the failure to appeal within the statutory time limit. The prejudice to HMRC and the public interest in finality and efficient litigation outweighed any prejudice to the appellant. Permission to appeal out of time was refused.

Court Disposition

Application for permission to appeal out of time refused for the 31 March 2021 penalty; appeal not admitted. Permission granted for late appeal against 25 November 2021 penalty.

Orders

  • Mr Butt's appeal against the company officer liability decision notice dated 31 March 2021 (Trade Lynx (London) Limited) is not admitted.
  • Mr Butt's late appeal against the company officer liability decision notice dated 25 November 2021 (Quantum London Limited) is admitted and will proceed to hearing.