2

For the purposes of sub-paragraph (1), a person (“P”) fails to comply with a provision mentioned in that sub-paragraph if and only if any of conditions A to C are met.

3

Condition A is met if—

a

the tribunal has determined that P has failed to comply with the provision concerned,

b

the appeal period has ended, and

c

the determination has not been overturned on appeal.

4

Condition B is met if—

a

the tribunal has determined for the purposes of section 118(2) of TMA 1970 that P is to be deemed not to have failed to comply with the provision concerned as P had a reasonable excuse for not doing the thing required to be done,

b

the appeal period has ended, and

c

the determination has not been overturned on appeal.

5

Condition C is met if P has admitted in writing to HMRC that P has failed to comply with the provision concerned.

6

The “appeal period” means—

a

the period during which an appeal could be brought against the determination of the tribunal, or

b

where an appeal mentioned in paragraph (a) has been brought, the period during which that appeal has not been finally determined, withdrawn or otherwise disposed of.