M Najib and Sons Ltd v Revenue and Customs (NATIONAL INSURANCE CONTRIBUTIONS : Other)

NATIONAL INSURANCE CONTRIBUTIONS � Class 1 � secondary contributor � whether earnings � yes � whether liability is extinguished by the reimbursement of the payments after the end of the tax year � no

By notice of appeal filed 21 May 2015, the Appellant appealed against the Respondents� review decision dated 24 April 2015, which upheld assessments for the years 2006/07, 2008/09, 2009/10 and 2010/11 raised on 29 January 2015 to give effect to the Respondents decision, dated 16 January 2015, that further Class 1 National Insurance Contributions (�NICs�) in the total sum of �6,222.96 were due in respect of earnings of the Appellant�s directors in those years.�

By letter to the Tribunal dated 23 October 2015 the Appellant also appealed against penalties for the years 2006/07, 2008/09, 2009/10 and 2010/11 in the total sum of �874.55, raised on 6 and 16 March 2015.�

On behalf of the Appellant, Mr Tomes explained that when the original decision had been upheld by the Respondents, the Appellant�s focus had been upon preparing for the substantive appeal before the Tribunal, so it had not been appreciated that no appeal had been lodged with the Tribunal against the imposition of penalties.� The Respondents indicated that they had no objection to an extension of time being granted to the Appellant to appeal against the penalties imposed.�

The Appellant has been trading since late 2003.� At all relevant times it has had two directors.� In February 2012 an officer of the Respondents visited the Appellant�s office and undertook a check of the Appellant�s employer records.�