TC09537 - [2025] UKFTT 00597 (TC)

Fecha: 20-May-2025

Introduction and summary

Introduction and summary

For the reasons which follow, we have made the following decisions:

(1)

The appeal against HMRC's decision and conclusions, made by way of a Closure Notice dated 31 July 2015, to deny Entrepreneurs' Relief against a claim made on the Appellant's Self-Assessment Tax Return for 2009/10 is dismissed (and the corresponding Revenue adjustment is upheld);

(2)

The appeal against HMRC's decision and conclusions, made by way of a Closure Notice, that an amount of £74,000 (declared on that return as having been received as employment income subject to PAYE) is dismissed (and the corresponding Revenue adjustment, treating this sum as a distribution, is upheld);

(3)

The penalty assessment, issued on 31 July 2015 under Schedule 24 of the Finance Act 2007, in relation to Item (2) is upheld, but in the amount of £5,067.70.

At the hearing, HMRC confirmed that it was no longer seeking to pursue a penalty assessment imposed in relation to the claim for Entrepreneurs’ Relief, and that the same would be administratively withdrawn.