The Upper Tribunal held that discovery assessments were out of time after deciding that HMRC had not satisfied the burden of proving that the appellant or his accountants acted carelessly or deliberately in relation to an insufficiency of tax discovered by HMRC.
On 11 March 2016, HM Revenue and Customs (HMRC) issued a discovery assessment for 2009/10 to the taxpayer, a medical consultant, based on careless behaviour by his accountants. On 2 August 2016, discovery assessments were issued for 2006/07 and 2007/08 based on deliberate behaviour. The appellant appealed. The First-tier Tribunal (FTT) found that the assessments were made in accordance with TMA 1970, s 29(1) and that the condition in TMA 1970, s 29(4) was satisfied. The FTT also found that the extended time limit for the making of the assessments in TMA 1970, s 36 applied and that the assessments were made within the time limits prescribed by that section. The appellant appealed to the Upper