As the majority of repayment traders in the UK approach the first anniversary of “Extended Verification” the Federation of Technological Industries (FTI) thought it would be useful to look back and see what has been achieved.

 

There has been a lot of legal activity with Letters before Action, Permission hearings, Interim relief hearings and even 3 full substantive judicial review hearings (although manipulated into a discussion on Contra Trading so maybe these do not count either.)

The results seem to follow a pattern, the more proactive a company is on pursuing legal action the higher the costs incurred on legal fees and just before they finally get their day in court they receive a negative decision. Disallowed! This leaves a feeling of extreme disappointment and a realisation that Customs are playing a procedural game with the courts.

The three JR’s which were amalgamated into a single hearing on contra trading did actually achieve their purpose and the judge instructed HMRC to make a decision by April 30th. No surprise to find they have all received negative decisions, which means they lose their JR costs and start spending on their Appeals.

The current score then is 11 non runners and 3 decisions ordering HMRC to stop their Extended Verification and make decisions by April 30. (Trade 3, HMRC 0). Its seems that the Court is not condoning HMRC’s activities!

Read the full roundup here