UT (Tax & Chancery) UT-2024-000024 - [2025] UKUT 00156 (TCC)

By way of background, s78 FA 2003 provides that Schedule 10 FA 2003 has effect with respect to land transaction returns, assessments and related matters, including enquiries.

Pursuant to paragraph 12 Schedule 10, HMRC may enquire into a land transaction return by giving notice of their intention to do so to the purchaser within nine months of the filing date where the return was delivered on or before that date:

“Paragraph 12 – Notice of enquiry

(1)

The Inland Revenue may enquire into a land transaction return if they give notice of their intention to do so (“notice of enquiry”)—

(a)

to the purchaser,

(b)

before the end of the enquiry period.

An enquiry is completed by the issuing of a closure notice under paragraph 23 Schedule 10:

“23(1) An enquiry under paragraph 12 is completed when the Inland Revenue by notice (a ‘closure notice’) inform the purchaser that they have completed their enquiries and state their conclusions.