The two taxpayers claimed loss relief arising out of two failed tax avoidance schemes. Their appeals against enquiry closure notices focussed on the submission that, under the scheme of the legislation, for any tax return there can ever only be one enquiry into that tax return, and only one closure of that enquiry (with limited exceptions not relevant to this appeal). In a detailed and technical judgment the Tribunal judge found for HMRC on all points raised in the appeals. One of the key findings is the distinction that must be drawn between an “actual” notice of enquiry and a “deemed” notice of enquiry into a partnership return.

For the full text of the decision of Tribunal Judge Aleksander, which was released on 26th April 2018, click here.