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Discovery assessments were valid despite no new information coming to HMRC’s attention

By Mark McLaughlin, October 2020

HMRC issued valid discovery assessments despite no new information having come to its attention, and in addition although a discovery was capable of having become ‘stale’ the discovery in this case had not lost its ‘newness’. 

In his self-assessment return for 2008/09, the appellant claimed ‘sideways’ loss relief in relation to losses arising in a limited liability partnership (LLP) (‘Ivancroft’) of which he was a member. In May 2010, HM Revenue and Customs (HMRC) notified the appellant that an enquiry had been opened into the 2008/09 tax return submitted by Ivancroft.  

Documents provided during the enquiry into Ivancroft’s 2008/09 tax return showed that Ivancroft was part of the ‘Icebreaker’ arrangement and the

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