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Freelancer compensated after HMRC forced him out of business

Posted Oct 31, 2007

Freelancer organisation, The Professional Contractors Group says it welcomes a Court of Appeal ruling in favour of one of its members, Neil Martin.

Last week, The Court of Appeal ruled that Mr Martin is entitled to compensation after his affairs were poorly handled by HMRC. Mr Martin was actually forced out of business as a result - the Court stating that HMRC's handling of his case was "beyond an administrative mistake".

PCG's MD John Brazier said;

"This is a complex judgment and, like Neil, we are studying it closely to work out its exact implications. But in the meantime we can say that it seems to be, at the very least, a step in the right direction."

"PCG still believes that a duty of care should be placed on HMRC so that its aggressive and often inept investigations of innocent taxpayers can no longer cause them material harm. We are looking at yesterday's judgment to work out how close it takes us to this being the case, and call on the Government to finish the job by establishing a full duty of care if necessary."

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