The Upper Tribunal overturns the First-tier Tribunal in “Inverclyde Property Renovation LLP”

Michael Ripley 11 New Square

The Upper Tribunal has decided that HMRC was right to follow the procedure for partnerships rather than companies when opening enquiries into two LLPs. In doing so the Upper Tribunal decided that the potential scope of an enquiry into a return can include whether the wrong return has been submitted. Therefore, a finding that a LLP was not carrying on a business with a view to profit would not invalidate an enquiry into a partnership return submitted by the LLP.


The decision can be found here.


Michael Ripley represented HMRC, led by Julian Ghosh QC.