The appellant was liable to pay the high-income child benefit charge, but the First-tier Tribunal invited HMRC to exercise its care and management powers in relation to the assessments, and the appellant’s appeals against late notification penalties werewas allowed.  

In April 2021, HM Revenue and Customs (HMRC) determined that the appellant was liable to pay the high-income child benefit charge (HICBC) for the tax years 2016/17, 2017/18 and 2018/19 and issued him with discovery assessments, and also penalties (under FA 2008, Sch 41) for failing to notify liability to the HICBC. The appellant appealed. 

In June 2020, another taxpayer (Mr Wilkes) successfully appealed to the First-tier Tribunal (FTT) against HICBC discovery assessments, as the FTT found that the legislation did not allow HMRC to issue that type of assessment in relation to a failure to pay the HICBC. The Upper Tribunal upheld the FTT’s decision. HMRC’s