Tag Archives: powers of recovery

Hearing date set for LTAG Claim to question HMRC Powers of Recovery

The High Court, HMRC and LTAG have agreed that the LTAG Claim to question HMRC’s powers of recovery will be heard on June 21st and June 22nd at the High Court in London.

The hearing will be the first time ever that a substantive claim has been made that clarifies the legal powers HMRC may have to recover repayments of tax made to taxpayers in the past.

The LTAG hearing will bring together prior decisions made in Derry, De Silva and others as well as bring forward significant new legal arguments that have never been well discussed in prior claims against HMRC.

With the hearing date finally set, formal statements of claim and defence from LTAG and HMRC are already being exchanged.

If you have an interest in this claim and how it may apply to you please complete the enquiry form on the Join page of this web site.



LTAG Judicial Review now clear to be heard

The LTAG Judicial Review of HMRC’s power of recovery was adjourned, from January 2017, pending the Supreme Court hearing and judgement of the De Silva claim. Now the judgement on De Silva has been delivered the LTAG JR hearing can be re-scheduled.

The De Silva judgement largely dealt with whether, or not, HMRC used the correct enquiry mechanism for a claim that involved multiple years. That judgement concluded that HMRC did use the correct mechanism.

LTAG is concerned with the broader subject of how should HMRC recover repayments made in the past which it has decided should be returned. Broadly, these are called powers of recovery.

Naturally, many LTAG members and potential claimants have been asking us what is the impact of the De Silva judgement on HMRC’s powers of recovery. We do have strong guidance from Counsel on the impact and are seeking a range of further detailed opinions.  We are due to have these shortly.

At this point, given the sensitivity of case management, we cannot provide further comment.

Once we have cleared the way forward with HMRC on how the LTAG case will be heard we will be able to comment to our members and to potential claimants who would like to join the LTAG claim.


De Silva Decision due on Wednesday 15th, Nov 2017

The De Silva claim against HMRC that was heard at the Supreme Court on June 22nd will receive its judgement on Wednesday Nov 15th.

The LTAG team will carefully review this judgement to determine its implications, especially on those who have made carry back claims, and those who are part of S54 agreements with HMRC. We will also review what the judgement may imply for HMRC’s powers of recovery.

To the best of our knowledge there are no other cases in the High Court, Court of Appeal or Supreme Court diaries relating to HMRC’s powers of recovery.  The LTAG case will therefore be the deciding case in regard of what HMRC needs to lawfully do in order to recover repayments made to taxpayers.