TC09557 - [2025] UKFTT 00750 (TC)

Case Number: TC09557

Taylor House, London

Appeal reference: TC/2022/12387

INHERITANCE TAX – employee benefit trust – scheme entered into to pay a bonus in a way that avoided income tax and NICs – Appellant accepted that scheme ineffective and that income tax and NICs are due – whether an additional charge to inheritance tax under IHTA 1984, s 94 (charge on participators in a close company) – whether the effect of IHTA 1984, s 94(2)(a) is to prevent an apportionment – yes – appeal allowed

Judgment date: 19 June 2025

Before

TRIBUNAL JUDGE RACHEL GAUKE

DR COLIN BOYD

Between

ANNETTE TONKIN

Appellant

and

THE COMMISSIONERS FOR HIS MAJESTY’S REVENUE AND CUSTOMS

Respondents

Representation:

For the Appellant: Mr Laurent Sykes KC of Counsel, instructed by MHA MacIntyre Hudson

For the Respondents: Mrs Amy Cook, litigator of HM Revenue and Customs’ Solicitor’s Office

DECISION