19498
LONDON TRIBUNAL CENTRE				Reference No: LON/2005/1223

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								Appellant/Applicant

								Respondents

	KREDENZA LTD	Appellant

	- and -

	THE COMMISSIONERS FOR HER MAJESTY’S REVENUE AND CUSTOMS	 Respondents

	Tribunal: STEPHEN OLIVER QC (Chairman)
				      S K DAS				      

	Sitting in public in London on 8 March 2006

	DIRECTION
under Rule 30(8)

THIS APPEAL against a decision of the Respondents with respect to a Default Surcharge being a reasonable excuse appeal as defined by rule 2 of the Value Added Tax Tribunals Rules 1986 as amended coming on for hearing this day

AND UPON HEARING N Stojanovic, accounts manager, for the Appellant and S Chambers for the Respondents

AND THIS TRIBUNAL having heard this appeal and having announced its decision 

AND THE parties present at the hearing by their said representatives stating pursuant to Rule 30(8) of the Value Added Tax Tribunals Rules 1986 as amended that they do not require the said decision to be recorded in a written document in accordance with Rule 30(1) of the said Rules

THIS TRIBUNAL FINDS THAT the Appellant had a reasonable excuse for the shortage of funds at the due date.  The Appellant’s largest client, who was the first to have contracted on a stage payment basis, had unexpectedly defaulted in making stage payments to the Appellant in the days leading to the due date

AND THIS TRIBUNAL DIRECTS THAT this appeal is ALLOWED

AND that there is to be no direction as to costs

STEPHEN OLIVER QC
	Chairman
	Release Date: 14 March 2006

© CROWN COPYRIGHT 2006