In the case of J&T Goods Ltd v HMRC [2026] UKFTT 777 (TC), the FTT has judged that it had no jurisdiction to hear the appeal following HMRC’s withdrawal of the decision under appeal and that it had no power to reinstate the appeal.
PROCEDURE – VAT – input tax – HMRC withdrawal of decision – jurisdiction – appeal struck out – no extant decision – reinstatement refused
The FTT found that HMRC had withdrawn its decision and the consequence of this withdrawal was that:
“The Appellant’s submission that the Tribunal can proceed to determine the appeal notwithstanding HMRC’s position cannot be accepted. That submission proceeds on the assumption that the decision remains in existence but is not defended. That is not the position found as a matter of fact.
Nor can the Tribunal accept the Appellant’s contention that withdrawal entails that the VAT claimed is payable. Withdrawal of a decision does not constitute a determination that the taxpayer’s position is correct. It simply removes the existing decision. Any future entitlement will depend upon further consideration by HMRC and, if appropriate, a further appealable decision.
The Appellant’s detailed grounds of appeal, including those relating to the evidential requirements for input tax and HMRC’s exercise of discretion are directed to the merits of the underlying dispute. In the absence of an appealable decision, the Tribunal has no jurisdiction to determine those matters.”
With respect to the application to reinstate, the FTT judged that:
“The Appellant seeks reinstatement of the appeal.
However, once the decision under appeal has been withdrawn, there is no appeal capable of reinstatement. The Tribunal cannot revive proceedings in the absence of an extant decision.”
https://caselaw.nationalarchives.gov.uk/ukftt/tc/2026/777
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