[2025] UKUT 166 (AAC)

in relation to Appeal SC946/19/02420 (“Appeal 2”): he was not permitted to apply for tax credits in August 2019.

HMRC’s position is that the decision was right, essentially for the reasons which the Tribunal gave, as supplemented by the additional reasoning below. (HMRC disagreed with the Tribunal’s reasoning at paragraph 28 of its statement of reasons, where there appeared to be some confusion over relevant dates), but that reasoning did not impact on the correct outcome of the appeals).

Further, in relation to Appeal 2 there is an Upper Tribunal decision directly on point (RS (No.2) (TC)). The Upper Tribunal is not bound by its previous decisions but, as a matter of judicial comity it should normally follow an earlier decision of co-ordinate jurisdiction, unless satisfied that the earlier decision was wrong (DB v Secretary of State for Work and Pensions [2023] UKUT 144 (AAC) at [10]). Whilst HMRC’s primary position is that RS (No.2) was decided correctly, it also says that the judgment should, in any event, be followed for reasons of comity (noting that there is no suggestion that the decision was per incuriam or otherwise tainted by misdirection, the claimant’s disagreement effectively being a disagreement with the Upper Tribunal’s ultimate conclusion as to the proper statutory construction of the relevant provision).