The failure by the taxpayer’s professional advisers to act promptly was a reasonable excuse for the late payment of her capital gains tax liability on a property disposal.
The appellant and her ex-husband sold a jointly owned property in May 2012. The money to pay the capital gains tax (CGT) arising was held by the appellant’s solicitor. The appellant appointed a firm of accountants to prepare her tax return.
The appellant's tax return for 2012/13 was received by HMRC in July 2014, and her tax liability was paid in full on 30 September 2014. The due date for payment was 31 January 2014. HMRC issued penalty notices for late payment (under FA 2009, Sch 56, para 3(3)). The appellant appealed.
The appellant submitted to the First-tier Tribunal (FTT) that she had contacted her accountants on a number of occasions about the progress of her tax return, and she had also contacted her solicitors
