Discovery assessments for several tax years raised by HM Revenue and Customs under the ‘presumption of continuity’ were cancelled, as the discovery assessment for the ‘base year’ was ‘fundamentally flawed’.  
 
Summary 
 
Discovery assessments (under TMA 1970, s 29) for several tax years raised by HM Revenue and Customs (HMRC) under the ‘presumption of continuity’ were cancelled, as the discovery assessment for the ‘base year’ was ‘fundamentally flawed’.  
 
Background 
 
The appellant was involved in an eBay trading business buying and selling vehicle parts, which was set up in December 2008. The appellant and his wife were partners in the business, together with his father (MN). The business was reported to HMRC under MN’s name for all tax years