PG Gunn v HMRC

In PG Gunn v HMRC (Upper Tribunal – 16 February) the First-tier Tribunal had dismissed appeals by a company director (see TC00689). The director appealed to the Upper Tribunal contending that the notices of assessment were invalid because they did not give details of the statutory provisions under which they were raised. The Upper Tribunal rejected this contention and dismissed the appeal holding that the notices of assessment were ‘in substance and effect’ in conformity with the Taxes Acts and were therefore authorised by TMA 1970 s 114.

Why it matters: TMA 1970 s 114 provides that a ‘defect or omission’ does not invalidate an assessment if the assessment is ‘in substance and effect in conformity with or according to the intent and meaning of the Taxes Acts’. The Upper Tribunal upheld the First-tier Tribunal decision that the assessments in question were valid.