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Where Taxpayers and Advisers Meet

NRCGT return

rbk123
Posts: 22
Joined: Tue May 30, 2017 1:27 am

Re: NRCGT return

Postby rbk123 » Fri Mar 08, 2019 12:49 am

Hi etf. If you have read the unpublished FTT decision, I think you can understand a reluctance to put it in the public domain. The narrative shoots more holes in HMRCs behavior, tactics and arguments than the McGreevy case. It also dismisses the legal argument that HMRC have put forward in nearly every case. That being that it is the tax payers duty to be aware of law changes, although there is nothing in statute to support this. That statement in itself surely brings into question HMRCs lawyers knowledge of the law and opens up questions of the judiciary itself.

etf
Posts: 621
Joined: Mon Nov 02, 2009 5:25 pm

Re: NRCGT return

Postby etf » Fri Mar 08, 2019 10:06 am

Is it naive of me to believe that HMRC and the judiciary should be working independently of one another here? I really don't understand why a copy of the case can be sent to me on request, but not published on the Gov' website for all interested parties to read (especially as the Appellants appear to be requesting that the case be published).

It will be interesting to see what percentage of NRCGT appeals have been successful in the current quarter. I do wonder if we had a month by month breakdown for the previous quarter whether it would show successful appeals were actually closer to 100% in the second part of that period i.e. a line was drawn in the sand at some point in time by HMRC to no longer contest NRCGT appeals (certainly NRCGT tribunal cases appear to have dried up since December 2018).

I have already written to Sir Jon to establish whether he still contends HMRC has treated NRCGT taxpayers even-handedly as required by the Taxpayers Charter-a movement from 3% to 79% surely needs some explaining.

rbk123
Posts: 22
Joined: Tue May 30, 2017 1:27 am

Re: NRCGT return

Postby rbk123 » Sun Mar 10, 2019 2:01 am

Hi etf. Well done. I can tell you that there must be more cases coming as we have been contacted for help in appeals. Something we are happy to do.

etf
Posts: 621
Joined: Mon Nov 02, 2009 5:25 pm

Re: NRCGT return

Postby etf » Tue Mar 26, 2019 12:43 pm

I've copied below:

- my original email to HMRC.
- HMRC's reply received this morning.
- my follow up email.

I have copied below percentages for successful NRCGT penalty appeals:

6 April 15 to 7 May 16-No penalties/unpublicised amnesty
8 May 16 to 31 March 17-32%
12 months to 31 March 18-16%
3 months to 30 June 18-3%
3 months to 30 September 18-6%
3 months to 31 December 18-79%

I should be grateful if you would confirm whether you still maintain HMRC has dealt with these taxpayers even-handedly (fairly) as required by the Taxpayers Charter. In my opinion, an increase from 3% to 79% requires some explanation.

PS HMRC’s NI38 booklet contains a telephone number (0300 200 3506) that puts you through to a recorded message stating the line is temporarily out of order. In reality, I’ve been advised the number is no longer in use. Please can you arrange for booklet NI38 to be updated as it is frustrating to phone that number day after day and not be able to talk to anyone. I advised your staff a number of weeks ago of this problem but nothing has happened.


Thank you for your email of 5 March 2019 to the Chief Executive. I have been asked to reply.

A customer will not pay a penalty if they have a reasonable excuse. A reasonable excuse is something that prevents a customer from meeting their tax obligations, despite them taking reasonable care to do so.

We consider claims in line with our understanding of the law, and the general approach of tribunals to reasonable excuse, and to Non-resident Capital Gains Tax (NRCGT) failures in particular, as this becomes clearer. There may be a range of reasons why a person filed their NRCGT late despite taking reasonable care including, in some cases, ignorance of the requirement.

We will look at all the available evidence when coming to a decision on a reasonable excuse claim.

I hope you find this reply helpful. If you need to contact us again, please quote our reference number above.


Thank you for your reply.

I would like to clarify three points as your reply skirts around the main question that I asked:

a) To be absolutely clear, is HMRC still contending it has treated all NRCGT appeal taxpayers even-handedly?
b) If the answer to the above question is positive, how many cases in the 3% period and the 79% period did you review to ensure this statement is correct and can you provide any insight into why so many more cases were successful in the 79% period than the 3% period?
c) Has anyone looked at the PS in my earlier email regarding the NI38 publication directing the public to ring a telephone number that nobody answers?.

etf
Posts: 621
Joined: Mon Nov 02, 2009 5:25 pm

Re: NRCGT return

Postby etf » Wed Mar 27, 2019 10:18 am

I've received confirmation today that rbk123's tribunal case will now be published on the Gov' website. It had remained unpublished due to an admin' error. This demonstrates if you believe something is not right and you persevere you can potentially achieve change.

Hopefully Sir Jon will reflect on the evidence in my emails posted yesterday and undertake a proper review of the NRCGT appeal process to establish whether all taxpayers have been treated even-handedly (I'm convinced they haven't).

etf
Posts: 621
Joined: Mon Nov 02, 2009 5:25 pm

Re: NRCGT return

Postby etf » Tue Apr 02, 2019 3:36 pm

As of today's date, no NRCGT tribunal cases have been published on the Gov' website for the quarter ended 31 March 2019.

etf
Posts: 621
Joined: Mon Nov 02, 2009 5:25 pm

Re: NRCGT return

Postby etf » Wed Apr 03, 2019 9:06 am

I hope HMRC will not continue to evade answering my NRCGT questions because criticism like that below will just snowball:


We remind you of the Civil Service Code to which you and all HMRC Officers are bound, which includes
that you must not “deceive or knowingly mislead ministers, Parliament or others”, and must not “ignore
inconvenient facts or relevant considerations when providing advice or making decisions”.

letter reported yesterday is a 5-page demolition of HMRC’s attitude & conduct & basically suggests that HMRC’s leaders are either liars or incompetent

rbk123
Posts: 22
Joined: Tue May 30, 2017 1:27 am

Re: NRCGT return

Postby rbk123 » Thu Apr 04, 2019 1:29 am

We heard at the weekend that a couple that we were helping with their appeal have had the case against them withdrawn. HMRC decided not to go to Tribunal. Are they finally giving in? Based on my dealings with HMRC I would say the staff, in general, are incompetent lying deceitful bullys. This culture comes from the top. The fact that a knighthood was handed out makes me wonder what Jon did for powerful " friends".

etf
Posts: 621
Joined: Mon Nov 02, 2009 5:25 pm

Re: NRCGT return

Postby etf » Thu Apr 04, 2019 4:01 pm

With articles and reports such as that contained in the link below circulating, hopefully HMRC will now finally reflect on how they have been operating and fix what has become broken (my bold):

https://www.taxationweb.co.uk/tax-articles/hmrc-administration-practice-methods/mps-warn-hmrc-is-out-of-control.html

A full review of the uneven-handed treatment of those affected by NRCGT penalties should be a priority (preferably by somebody independent).

I have already requested NRCGT penalty/appeal details for the quarter ended 31 March 2019 which potentially will make interesting reading.

etf
Posts: 621
Joined: Mon Nov 02, 2009 5:25 pm

Re: NRCGT return

Postby etf » Mon Apr 08, 2019 1:44 pm

The NRCGT tax case that took some time to be published on the Gov' website:

http://financeandtax.decisions.tribunals.gov.uk//judgmentfiles/j11028/TC07064.pdf


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