David Ewart KC and Laura Ruxandu look at judicial review in relation to tax cases from a procedural as well as substantive perspective.

• when you can bring judicial review in a tax case.
• what to do if you have alternative remedies.
• the jurisdiction of the administrative court.
• procedure for judicial review.

1: 13 The three broad areas in which you can bring judicial review in tax cases.

3:19 Area 1: Extra-statutory rulings - where HMRC resile on an earlier representation personal to the taxpayer. These claims cannot be brought in the tax tribunal. Whilst most of the case law is won by the HMRC, equally there are a lot of cases in which the HMRC accept the taxpayer's challenge.

10:49 Area 2: Where the tax payer has read and relied on a general statement in a published document/statement.

20:53 Area 3: Procedural errors- breach of natural justice, applications for disclosure.

26:42 Judicial review should be viewed as a last resort. It is a residual remedy and is not available if alternative remedies are available.

26:56 The jurisdiction of the administrative court to hear public law arguments such as judicial review.

36:00 Procedure for judicial review. You need to apply for permission. Differences to the Tribunal eg time limits, pre-action protocol. Very important to get early professional advice and evidence to cover the application as well as judicial review (if you get permission).

44:52 Increasing role of Upper Tribunal.

47:41 Difference of appeals to appeals in the Tribunal.

48:00 Strategic importance of threatening judicial review.

Cases

R (Hawarth) v HMRC [2021] UKSC 25

R (Locke) v HMRC [2019] EWCA Civ 1909

R (Refinitiv UK Holdings Ltd) & Anor v HMRC [2023] UKUT 00257 (TCC)

R (Airline Placement Ltd) v HMRC [2023] EWHC 1191 (Admin)

Murphy & Linnett v HMRC [2023] EWCA Civ 497

R (Aozora GMAC Investment Ltd) v HMRC [2019] EWCA Civ 1643

R (Rettig Heating Group Ltd) v HMRC [2025] UKUT 143 (TCC)

R (Archer) v HMRC [2017] EWHC 296 (Admin)

Zeman v HMRC [2021] UKUT 182 (TCC)

Harrison v HMRC [2023] UKUT 00038

Caerdav Ltd v HMRC [2023] UKUT 00179 (TCC)

Reed Employment v HMRC [2015] EWCA Civ 805

MCM v HMRC

Glencore v HMRC [2017] EWCA Civ 1716

Legislation

s50 Taxes Management Act

Legislation

• Part III and Schedule 5 of the Finance Act 1996
• Section 42 and Schedule 12 of the Finance Act 2018
• EU Landfill Directive (1999/31/EC)
• Consultation on Reform of Landfill Tax in England and Northern Ireland (April 2025)
• Paris Agreement 2015
• s1 Climate Change Act 2008Renewed Agenda for European Union – United Kingdom cooperation common understanding (May 2025)
• Environment Act 2021
• The Environmental Targets (Residual Waste) (England) Regulations 2023, regulation 2

Cases

• Waste Recycling Group Ltd v HMRC [2008] EWCA Civ 849; [2009] STC 200
• Patersons of Greenoakhill Ltd v HMRC [2016] EWCA Civ 1250; [2017] 1 WLR 1210; [2017] STC 225
• Devon Waste Management Ltd v HMRC [2021] EWCA Civ 584; [2021] 4 WLR 89; [2021] STC 990

• Joshua Stevens | Pump Court Tax Chambers
• Zizhen Yang | Pump Court Tax Chambers

Thomas Chacko and Quinlan Windle discuss the options for tax breaks in relation to spending on R&D:

• outline of scheme and changes made in 2024
• what R&D means
• can you claim when R&D is contracted out
• practical points about how to deal with enquiries bearing in mind recent case law

1:25 outline of the scheme pre the Finance Act 2024 - basic deduction and 2 further possible schemes (relief for small and medium enterprises + R&D credit).

2:54 effect of Finance Act 2024

3:23 what is R&D? A common question as well as major issue in many of the cases.

8:03 the effect of HMRC now taking very robust stance on R&D tax credit claims and requiring cases to pass a very high threshold. Issues with highly technical areas eg software. Tax payers must be able to explain highly technical projects to HMRC/tribunal in a way that enables them to understand why the work merits the tax credit.

18:40 restrictions on qualifying expenditure in recent case law and following the Finance Act 2024.

37:09 practical problems in enquiries and litigation. Also the use of ADR.

Citations

Legislation and guidelines

Corporation Tax Act 2009

Finance Act 2024

BEIS Guidelines - latest update March 2023 (originally the DTI Guidelines)

HMRC Guidance - CIRD84250

HMRC CIRD161000

Case law

Hadee Engineering Co Ltd v Revenue & Customs [2020] UKFTT 497 (TC)

BE Studios v Smith & Williamson Ltd [2005] EWHC 1506

Flame Tree Publishing v HMRC [2024] UKFTT 349 (TC)

Get Onbord v HMRC [2024] UKFTT 617 (TCC)

Quinn (London) Ltd v HMRC [2021] UKFTT 437 (TC)

Collins Construction Ltd (TC09332) - 21 October 2024

Stage One Creative Services [2024] UKFTT 1059 (TC)