This morning the Supreme Court delivered a decision that dismissed the De Silva appeal.
De Silva had appealed that HMRC had used an incorrect enquiry process to invalidate his claim and that his claim should stand. The Supreme Court ruled that HMRC had, in his specific circumstances, acted lawfully.
The Supreme Court also ruled that the Cotter case gives no support to the taxpayers in this appeal, De Silva and those stood behind De Silva.
The LTAG team will be reviewing the judgement with legal counsel in great detail to determine its application to the range of fact patterns LTAG claimants have. We would expect to be in a position to provide guidance to LTAG members in two weeks.
Today the Supreme Court heard the claim raised by a Mr De Silva (and others) to determine whether HMRC are entitled to enquire into his claim for loss relief other than by opening an enquiry under Schedule 1A of TMA 1970 which is subject to a time limit that had elapsed prior to the date of the enquiry.
The claim was heard by Lord Neuberger, Lord Kerr, Lord Reed, Lord Hughes and Lord Hodge. Fuller details as well as the ability to watch the hearing can be reviewed at www.supremecourt.uk/current-cases/ and search on De Silva.
The LTAG officers were in attendance. From a wide number of perspectives we believe that the De Silva hearing assisted the LTAG claim. In the next few weeks LTAG members will be provided with an update on the LTAG claim.
At this point there are no further timing related claims that are scheduled in the court diaries so LTAG will be the next claim to be heard.
Please contact us if you are in one of the potentially affected LLPs we mention in earlier posts.