Upper Tribunal Tax and Chancery Chamber

UT (Tax & Chancery) UT/2022/000155 - [2025] UKUT 00003 (TCC)

Fecha: 17-Oct-2024

FTT Rules

FTT Rules

25.

Rule 2 contains the overriding objective which the FTT must give effect to when interpreting and applying the Rules by virtue of Rule 2(3):

Overriding objective and parties' obligation to co-operate with the tribunal

2.—(1) The overriding objective of these Rules is to enable the Tribunal to deal with cases fairly and justly.

(2)

Dealing with a case fairly and justly includes—

(a)

dealing with the case in ways which are proportionate to the importance of the case, the complexity of the issues, the anticipated costs and the resources of the parties;

(b)

avoiding unnecessary formality and seeking flexibility in the proceedings;

(c)

ensuring, so far as practicable, that the parties are able to participate fully in the proceedings;

(d)

using any special expertise of the Tribunal effectively; and

(e)

avoiding delay, so far as compatible with proper consideration of the issues.

(3)

The Tribunal must seek to give effect to the overriding objective when it—

(a)

exercises any power under these Rules; or

(b)

interprets any rule or practice direction.

…

26.

Rule 7(1)-(2) provides a mechanism by which a Tribunal may waive or remedy breaches of its Rules, practice directions or directions if it considers it just to do so:

Failure to comply with rules etc.

7.—(1) An irregularity resulting from a failure to comply with any requirement in these Rules, a practice direction or a direction does not of itself render void the proceedings or any step taken in the proceedings.

(2)

If a party has failed to comply with a requirement in these Rules, a practice direction or a direction, the Tribunal may take such action as it considers just, which may include—

(a)

waiving the requirement;

(b)

requiring the failure to be remedied;

(c)

exercising its power under rule 8 (striking out a party's case);

(d)

restricting a party's participation in proceedings; or

(e)

exercising its power under paragraph (3).

…

27.

Rule 10 provides for the Tribunal’s costs jurisdiction to be limited to certain qualifying gateways. One of these, Rule (1)(c), provides for the costs regime to apply to proceedings allocated to the complex category:

10.—(1) The Tribunal may only make an order in respect of costs (or, in Scotland, expenses)—

…

(c)

if—

(i)

the proceedings have been allocated as a Complex case under rule 23 (allocation of cases to categories); and

(ii)

the taxpayer (or, where more than one party is a taxpayer, one of them) has not sent or delivered a written request to the Tribunal, within 28 days of receiving notice that the case had been allocated as a Complex case, that the proceedings be excluded from potential liability for costs or expenses under this sub-paragraph.

28.

Most importantly, Rule 11 provides for the appointment of representatives for parties and 11(2) distinguishes the notification obligations for the appointment of legal and other types of representatives:

Representatives

11.—(1) A party may appoint a representative (whether a legal representative or not) to represent that party in the proceedings.

(2)

If a party appoints a representative, that party (or the representative if the representative is a legal representative) must send or deliver to the Tribunal and to each other party to the proceedings written notice of the representative's name and address.

(3)

Anything permitted or required to be done by a party under these Rules, a practice direction or a direction may be done by the representative of that party, except signing a witness statement.

(4)

A person who receives due notice of the appointment of a representative—

(a)

must provide to the representative any document which is required to be provided to the represented party, and need not provide that document to the represented party; and

(b)

may assume that the representative is and remains authorised as such until they receive written notification that this is not so from the representative or the represented party.

(5)

At a hearing a party may be accompanied by another person who, with the permission of the Tribunal, may act as a representative or otherwise assist in presenting the party's case at the hearing.

(6)

Paragraphs (2) to (4) do not apply to a person (other than an appointed representative) who accompanies a party in accordance with paragraph (5).

(7)

In this rule “legal representative” means a person who, for the purposes of the Legal Services Act 2007, is an authorised person in relation to an activity which constitutes the exercise of a right of audience or the conduct of litigation within the meaning of that Act, an advocate or solicitor in Scotland, or a barrister or solicitor in Northern Ireland.

[emphasis added]

29.

Rule 20(1) and (2) also require that a person (appellant or representative) must state the appellant’s representative’s name and address in a notice of appeal and send or deliver that to the Tribunal:

Starting appeal proceedings

20.—(1) A person making or notifying an appeal to the Tribunal under any enactment must start proceedings by sending or delivering a notice of appeal to the Tribunal.

(2)

The notice of appeal must include—

(a)

the name and address of the appellant;

(b)

the name and address of the appellant’s representative (if any);

(c)

an address where documents for the appellant may be sent or delivered;

(d)

details of the decision appealed against;

(e)

the result the appellant is seeking; and

(f)

the grounds for making the appeal.

…

30.

Rule 13 provides for the sending and delivery of documents to parties and to the Tribunal:

13.—(1) Any document to be provided to the Tribunal under these Rules, a practice direction or a direction must be—

(a)

sent by pre-paid post or document exchange, or delivered by hand, to the address specified for the proceedings; or

(b)

sent or delivered by such other method as the Tribunal may permit or direct.

(2)

Subject to paragraph (3), if a party or representative provides a fax number, email address or other details for the electronic transmission of documents to them, that party or representative must accept delivery of documents by that method.

(3)

If a party informs the Tribunal and all other parties that a particular form of communication (other than pre-paid post or delivery by hand) should not be used to provide documents to that party, that form of communication must not be so used.

(4)

If the Tribunal or a party sends a document to a party or the Tribunal by email or any other electronic means of communication, the recipient may request that the sender provide a hard copy of the document to the recipient. The recipient must make such a request as soon as reasonably practicable after receiving the document electronically.

(5)

The Tribunal and each party may assume that the address provided by a party or its representative is and remains the address to which documents should be sent or delivered until receiving written notification to the contrary.

31.

Rule 23 governs the allocation of cases to categories including the complex category at 23(2)(d):

23.—(1) When the Tribunal receives a notice of appeal, application notice or notice of reference, the Tribunal must give a direction—

(a)

in an MP expenses case, a financial restrictions civil penalty case or a CAA case, allocating the case to one of the categories set out in paragraph (2)(c) or (d); and

(b)

in any other case, allocating the case to one of the categories set out in paragraph (2).

(2)

The categories referred to in paragraph (1) are—

(a)

Default Paper cases, which will usually be disposed of without a hearing;

(b)

Basic cases, which will usually be disposed of after a hearing, with minimal exchange of documents before the hearing;

(c)

Standard cases, which will usually be subject to more detailed case management and be disposed of after a hearing; and

(d)

Complex cases, in respect of which see paragraphs (4) and (5) below.

(3)

The Tribunal may give a further direction re-allocating a case to a different category at any time, either on the application of a party or on its own initiative.

(4)

The Tribunal may allocate a case as a Complex case under paragraph (1) or (3) only if the Tribunal considers that the case—

(a)

will require lengthy or complex evidence or a lengthy hearing;

(b)

involves a complex or important principle or issue; or

(c)

involves a large financial sum.

(5)

If a case is allocated as a Complex case—

(a)

rule 10(1)(c) (costs in Complex cases) applies to the case; and

(b)

rule 28 (transfer of Complex cases to the Upper Tribunal) applies to the case.