In Kuldeep Delay v HMRC [2016] TC05501 taxpayer’s appeal against a penalty for late payment of tax was struck out: he failed to appeal on any of the grounds as set by the relevant legislation.

  • The taxpayer had taken part in a tax scheme.
  • HMRC had served an Accelerated Payment Notice (APN) in respect of the scheme and the validity of the APN was the subject to a judicial review.
  • No tax was paid pending the outcome of the review and although HMRC had agreed that payment could be postponed it nevertheless issued a late payment penalty under Schedule 56 FA 2009.

The taxpayer appealed against the penalty, however, instead of setting out grounds for appeal in accordance with sch.56 (i.e. that he had a reasonable excuse etc for his failure) he claimed his human rights had been infringed.

The First Tier Tribunal (FTT) considered that it has no jurisdiction to consider an appeal on those grounds and threw out the appeal.


These days the majority of SME tax penalties are assessed under sch 24 FA 2007, sch 55 and 56 FA 2009 (error, late filing and late payment  respectively). It is not uncommon to find that taxpayers have incorrectly drafted their appeals and our guide: How to Appeal a Tax Penalty was written to ensure that exactly the above situation does not apply to you.

For assistance in drafting an appeal, or to obtain a second opinion on your appeal before submitting to HMRC. contact our Virtual Tax Partner support service.



Delay V HMRC