Even HMRC's Solicitor's Office doesn't understand the DOTAS legislation

[DonkeyRhubarb]

In another APN case we're arguing, the Solicitor's Office is steadfastly claiming that the 2006 DOTAS regulations (SI 2006/1543) apply if a scheme was notified after 1st August 2006.

They are totally wrong. The date a scheme was notified is irrelevant. It is when a scheme was first made available for implementation, or transactions occurred, that counts. If this was before 1st August 2006 then the 2006 regulations don't apply.

Either they haven't bothered to read Section 1(2) "Citation, commencement and effect", or they're just thick.

http://www.legislation.gov.uk/uksi/2...0061543_en.pdf

[anothercontractor1]

In another APN case we're arguing, the Solicitor's Office is steadfastly claiming that the 2006 DOTAS regulations (SI 2006/1543) apply if a scheme was notified after 1st August 2006.

They are totally wrong. The date a scheme was notified is irrelevant. It is when a scheme was first made available for implementation, or transactions occurred, that counts. If this was before 1st August 2006 then the 2006 regulations don't apply.

Either they haven't bothered to read Section 1(2) "Citation, commencement and effect", or they're just thick.

http://www.legislation.gov.uk/uksi/2...0061543_en.pdf

It seems to me they can very well say the sun rises in the west, that up is down, and night is day.

My question on all these ridiculous APN representation refusals I hear coming back is this - do we *really* have no further option to go back and say a give APN representation refusal is clearly and simply wrong? Otherwise a representation is a pointless and costly paper pushing exercise.

Why would HMRC spend any time considering representations at all, save to say they spent time considering it?

[ASB]

In another APN case we're arguing, the Solicitor's Office is steadfastly claiming that the 2006 DOTAS regulations (SI 2006/1543) apply if a scheme was notified after 1st August 2006.

They are totally wrong. The date a scheme was notified is irrelevant. It is when a scheme was first made available for implementation, or transactions occurred, that counts. If this was before 1st August 2006 then the 2006 regulations don't apply.

Either they haven't bothered to read Section 1(2) "Citation, commencement and effect", or they're just thick.

http://www.legislation.gov.uk/uksi/2...0061543_en.pdf

they have read it. They are not thick.

their argument will he what it was intended to mean. Not what it does mean. Expect hansard extracts in due course.

yes ludicrous I know.

[DonkeyRhubarb]

they have read it. They are not thick.

their argument will he what it was intended to mean. Not what it does mean. Expect hansard extracts in due course.

yes ludicrous I know.

Well, they won't get any joy there. The 2006 regulations were always intended to have a "grandfathering" provision to exclude any schemes which already existed prior to the commencement on 1st August 2006.

See page 9 - Was it available before 1 August 2006 (“grandfathering”)

https://www.gov.uk/government/upload...ation_2014.pdf

[DonkeyRhubarb]

It's even in HMRC's own published guidance on DOTAS.

https://www.gov.uk/government/upload...blishing-3.pdf

Page 59.

7.6.6 Test 4 – was the tax arrangement first made available on or after 1 August 2006?

Someone needs to explain RTFM to them.

[BrilloPad]

they have read it. They are not thick.

their argument will he what it was intended to mean. Not what it does mean. Expect hansard extracts in due course.

yes ludicrous I know.

Either way they can change it retrospectively.

[demby]

Is this implying that if the scheme was up and running before 1 August 2006 then the APNs are null and void.

Please let it be as simple as that!!!

[DonkeyRhubarb]

Is this implying that if the scheme was up and running before 1 August 2006 then the APNs are null and void.

Please let it be as simple as that!!!

It means the scheme would come under the more limited 2004 DOTAS rules, not the greatly extended 2006 regime.

[DonkeyRhubarb]

HMRC are refusing to budge.

They are basically saying that, regardless of whether the scheme was available before 1 August 2006, it was still notifiable under the 2006 regulations. According to our QC, this is totally contrary to what the law stipulates.

HMRC are saying the only option open to the taxpayer is a Judicial Review.

As was predicted, this is what happens when you make HMRC Judge, Jury and Executioner.