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