The taxpayer’s application to postpone tax was refused as there were no reasonable grounds for believing there had been an overcharge to tax. 

In August 2018, HM Revenue and Customs (HMRC) opened an investigation under Code of Practice 8, and the appellant was notified that an enquiry into his tax return for 2016/17 had been opened. In the covering letter for the enquiry, HMRC notified the appellant of the ‘requirement to correct’ (RTC) provisions (F(No 2)A 2017, Sch 18). 

The appellant had resided in Israel immediately prior to residing in the UK and until 5 April 2017 he had not sold any overseas properties whilst he had been a UK resident. He owned a property in Epsom, a property in Russia, and a property in Cyprus (which he stated was beneficially owned by his ex-wife, who was resident in Cyprus). He had no other property interests. He was also the sole beneficial owner of a Barclays Jersey investment portfolio account.