The taxpayers’ appeal against a decision of the First-tier Tribunal upholding the issue of a discovery assessment was allowed, as the tribunal erred in deciding that the taxpayers were given a fair opportunity to rebut the argument of HM Revenue and Customs that the taxpayers’ adviser’s carelessness gave rise to the loss of tax (as opposed to the taxpayers themselves).
Summary
The taxpayers’ appeal against a decision of the First-tier Tribunal (FTT) upholding the issue of a discovery assessment was allowed, as the FTT erred in deciding that the taxpayers were given a fair opportunity to rebut the argument of HM Revenue and Customs (HMRC) that the taxpayers’ adviser’s carelessness gave rise to the loss of tax (as opposed to the taxpayers themselves).
Background
In January 2007,