EJ Parkinson & Son Ltd v Revenue & Customs

PENALTY for late submission of a monthly return required under the Hydrocarbon Oils (Registered Dealers in Controlled Oil) Regulations 2002 � whether the appellant had a reasonable excuse for the late submission � found that the return had been posted to HMRC more than 3 weeks before the due date although it was not received by HMRC � a reasonable excuse found to have been established � appeal allowed

The appellant, E J Parkinson & Son Limited (�Parkinson�), appealed against the imposition of a fixed penalty of �250 in respect of a failure to submit in time a monthly return for April 2013 pursuant to prescription to that effect by the Respondent Commissioners (�HMRC�) in exercise of their powers under regulation 9 of the Hydrocarbon Oils (Registered Dealers in Controlled Oil) Regulations 2002.

Mr Merrey, who appeared for Parkinson, gave evidence at the hearing as to the facts surrounding the submission of these monthly returns (called HO5 returns) by Parkinson.� Ms D�Cruz, for HMRC, did not require to cross-examine him.� Therefore his evidence was unchallenged.

Mr Merrey�s evidence was (and we find) that for several years Parkinson has been submitting HO5 returns monthly by post.� Written evidence of posting had never been retained. The normal procedure was that a blank return would be sent to Parkinson by HMRC two weeks or so before the end of a month for submission by the due date of the 21 st day of the next month.� Such a blank return was always kept at the top of the in-tray and submitted at the end of the month concerned.

Mr Merrey could not remember receiving a blank return for the month of February 2013 and he had no recollection of sending a return for that month.