Latest Cases

Income tax – Emoluments from office or employment. The Upper Tribunal (Tax and Chancery Chamber) (the tribunal) ruled upon issues arising out of a decision by the First-tier Tribunal (Tax Chamber) (the FTT) concerning a number of assessments for PAYE and national insurance contributions served on the taxpayers in respect of certain sub-trusts established in the name of individual employees of companies in the Murray group (the taxpayers). The tribunal dismissed the taxpayers' appeals, save in respect of certain termination payments, which would be remitted to the FTT for the purpose, amongst other things, of proceeding as accords in relation to those payments. 

European Union – Employment. The Court of Justice of the European Union ruled that art 7(1) of Directive (EC) 2003/88 of the European Parliament and of the Council (concerning certain aspects of the organisation of working time) should be interpreted as precluding national legislation and practice under which a worker whose remuneration consisted of a basic salary and commission, the amount of which was fixed by reference to the contracts entered into by the employer as a result of sales achieved by that worker, was entitled, in respect of his paid annual leave, to remuneration composed exclusively of his basic salary. 

Sentence – Imprisonment. The defendants had been convicted of robbery. The Court of Appeal, Criminal Division, following a reference by the Attorney General pursuant to s 36 of the Criminal Justice Act 1988, held that the judge had erred by deciding that the sentences should be discounted by 50% because he had been sentencing 'lesser offenders'. Although the defendants' precise roles in the robbery had been difficult to define, the evidence had established, at the very least, their full and significant involvement. Consequently, the sentence for each of the three defendants would be five years' imprisonment. 

Practice – Hearing. The Court of Appeal, Civil Division, gave guidance on the circumstances in which the First-tier Tribunal (General Regulatory Chamber) could lawfully adopt a closed material procedure in which a party and his legal representatives were excluded from the hearing or part of it when it was hearing an appeal against a decision of the Information Commissioner. It held that the features most comprehensively spelt out in British Union for the Abolition of Vivisection v Information Commissioner and another ([2011] UKFTT EA_2010_0064 (GRC)) fully justified the approach taken in the present case, in which the maximum candour possible had been achieved. 

Value added tax – Supply of goods and services. The Upper Tribunal (Tax and Chancery Chamber) (the tribunal) dismissed the appeal brought by the Revenue and Customs Commissioners against a decision of the First-tier Tribunal (Tax Chamber) (the FTT) in which the FTT had decided that certain dog foods sold by Roger Skinner Ltd were zero-rated as 'animal feeding stuffs' within Sch 8 to the Value Added Tax Act 1994. The tribunal decided that on the evidence, the FTT had been entitled to take the view that none of the products in dispute had been 'meal for ... dogs' and consequently did not fall within the excepted items in Group 1 of Sch 8 to the Act which were standard-rated. 

Pension – Pension scheme. Th Chancery Division held, among other things, that, in respect of the Arcadia Group Pension Scheme and the Arcadia Group Senior Executives Pension Scheme, the definitions of retail price index (RPI), applicable in respect of the schemes, operated to confer powers to select an index other than RPI, and that such power of selection was exercisable by the principal employer under the schemes and the trustee of the relevant scheme jointly. 

Mental health – Court of Protection. RR was an elderly lady suffering from dementia. She was being looked after at home by her son and his companion. Following a safeguarding scare, the local authority removed RR from her home without informing her son or seeking permission from the court. The Family Division made declarations to the effect that as a result there had been a breach of RR's rights under art 5 and 8 of the European Convention of Human Rights. 

Mental health – Persons who lack capacity. The proceedings concerned the care of a young man, M, who was autistic. His parents, especially his mother, E, contended that care for M had been ineffective and that his condition had been the result of the use of the measles, mumps and rubella vaccination. The local authority sought orders stating that E had invented symptoms and failed to assist with M's care. The Court of Protection granted the orders and refused E's application to be reinstated as M's deputy. 

Prison – Life sentence. The claimant was serving a life sentence with a 37-year tariff for the murder of a police officer. He sought judicial review of his classification as a high escape risk. The Administrative Court, in dismissing the application, held that the nature of the offence and the length of his sentence were highly relevant considerations. The claimant's further arguments were completely untenable and not established by the evidence. 

Company – Compulsory winding up. The Revenue and Customs Commissioners issued without notice applications for the appointment of provisional liquidators in relation to the affairs of two companies. The Chancery Division, having set out the principles upon which to proceed in dealing with without notice applications for the appointment of provisional liquidators, granted the applications. It held that, in the circumstances, there was no real alternative but to appoint provisional liquidators.