Ferguson v HMRC

In Ferguson v HMRC [2020] UKFTT 66 (TC) (3 February 2020) the FTT found that difficulties accessing HMRC’s online systems from China provided a reasonable excuse for the late filing of a tax return. For the subsequent tax year however there was no excuse because the taxpayer fully understood the problem. 

In 2006 the taxpayer (F) moved to China. He made annual visits back to the UK in the summer staying in a flat he owned. For the rest of the year he would let out the flat; this was his principal source of UK income. 

F filed self-assessment tax returns late for tax years 2013/14 and 2014/15. HMRC issued late-filing penalties. 

F contended that controls over electronic communications in China prevented him from accessing his personal tax account. The authentication process where a code is sent by text message to the individual’s mobile phone was...