Upper Tribunal Tax and Chancery Chamber

[2025] UKUT 00023 (TCC)

Fecha: 03-Abr-2024

JUDGE RUPERT JONES Introduction

JUDGE RUPERT JONES

Introduction

The Applicant, Assembly Global Networks Ltd (“AGN”), applies to the Upper Tribunal (Tax and Chancery) (“UT”) for permission to appeal the decision of the First-tier Tribunal (Tax Chamber) (“the FTT”), released on 3 April 2024 (“the Decision”). The appeal was decided by the FTT following a hearing conducted on 14 March 2024.

The FTT decided a preliminary issue: whether HMRC’s Enquiry Letter dated 15 July 2022 had been received at AGN’s registered office by 31 July 2022, the last date on which HMRC were able to open a valid enquiry into AGN’s claim for a research and development credit contained in its amended Corporation Tax return.

The Tribunal found in favour of HMRC stating its conclusion at [7] of the Decision:

‘I found that the Enquiry Letter had been properly addressed and franked and that it had been posted on 18 July 2022. I agreed with Mr Baig that there was no ordinary course of postal deliveries in the week ending 22 July, but found that the ordinary course of post had resumed on Monday 25 July. AGN failed to show non-receipt, and the Enquiry Letter was therefore deemed to have been delivered on 28 July 2022. As a result, I determined the Preliminary Issue in favour of HMRC.’

By a decision dated 1 July 2024 (“the PTA Decision”), the FTT refused permission to appeal the Decision to the UT on the grounds of appeal pursued by the Applicant. The Applicant renewed its application to the UT for permission to appeal in-time on 31 July 2024.

I refused permission to appeal to the Upper Tribunal on the papers in a decision dated 7 October 2024. The Applicant requested that permission to appeal be reconsidered at an oral hearing.

I held an oral hearing by video (CVP) on 12 December 2024. Mr Baig appeared as counsel on behalf of the Applicant and Mr Holt appeared as a litigator for HMRC. I am grateful to them both for their submissions.

References in square brackets [] are to paragraphs in the Decision or PTA Decision.