Marriage and Late Tax Return Failure

Do Not Blame Your Marriage For A Late Tax Return

Do Not Blame Your Marriage For A Late Tax Return is a post that arises from what the Tax Tribunal had to say in the case of Balogun v Revenue & Customs [2020] UKFTT 457 (TC).

This is a case that goes back to a personal tax return that ought to have been submitted more than 10 years ago, the taxpayer who was apparently trading as an accountant was hit with a Determination of the tax.

It seems that he tried to appeal against the Determination around 10 years later and submit the tax return to replace the Determination. Interestingly the tax return that he tried to deploy to displace the Determination showed he had carried on a business during the relevant period.

The Tribunal does not appear to have been terribly impressed with the arguments put forward, so do not blame your marriage for a late tax return! A personal tax return apparently becomes time-barred 4 years after the filing date.

The taxpayer submitted a medical report and claimed he had marriage issues but the Tribunal had this to say when it rejected the explanations provided in respect of the appeal against the Determination:

A medical report which the appellant had produced relating to his own ill-health and his marital problems did not show that he had been unable to function between 31 January 2009 and 31 January 2012 being the deadline to file the 2007-08 return.

It was clear that to some extent the appellant had been involved in the management of limited companies and also the administration and management of property rentals during the relevant period.

The submission of tax returns should therefore have been within the appellant’s abilities between January 2009 and January 2012. In fact his 2007-08 return, filed in 2018, showed that he had carried on business throughout the return year and therefore must have been aware that as a self-employed individual he was obliged to complete a tax return and declare the profits from his business.