1 GENERAL NEWS
1.1 Reasonable excuse case – with 'special
circumstances'
The First-tier Tribunal has recently considered the case of
Derren Urwin.
This case considered an appeal against a surcharge of
£429.78 levied by HMRC for the late payment of income tax of
£8,595.79 for the year ending 5 April 2010, which arose due
to an unusual and unexpected PAYE underpayment. Interestingly, not
only was the appeal allowed on the grounds of reasonable excuse
because it was impossible for the taxpayer to pay on time, the
tribunal stated that had they not overturned the case on these
grounds then they would have overturned it on that basis that there
were special circumstances. The tribunal commented that the law
relating to the particular circumstances is complex and may be
deficient.
