The taxpayer’s behaviour leading to a loss of tax was deliberate, which extended the time period for discovery assessments, and the amounts assessed and related penalties were upheld.
The appellant filed self-assessment returns for the tax years 1996/97 to 1999/2000; thereafter, he did not file returns for the tax years under appeal. However, the appellant received self-employment income during the relevant tax years, which was not declared by him to HM Revenue and Customs (HMRC). Following an investigation, HMRC issued discovery assessments for the tax years 2000/01 to 2008/09 (inclusive) on 20 May 2013. A penalty for failure to submit self-assessment returns for the same tax years was issued on 22 November 2016. The appellant appealed.
HMRC stated that they had issued filing notices for each of the relevant tax years and provided details of the dates on which these were sent, confirming that they were sent to the address held on