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Controversial
accountancy Christopher Lunn & Co (CLAC) will no longer
be treated as a tax agent, as the Commissioners for Revenue
& Customs have again chosen to withdraw the firm’s
status.
The decision was finalised with immediate
effect, as the East Sussex-based CLAC remains the subject of
a criminal investigation by the taxman following allegations
of irregularities into the accounts and tax returns of
clients, most of whom work in the television industry.
The company’s tax agent status was
restored in March, after a judicial review ruled that the
taxman acted unlawfully in a procedurally unfair manner when
commissioners Mike Eland and Melanie Dawes chose in late
2010 to put an end to HMRC's dealings with CLAC. The
department was instructed to reconsider its withdrawal of
the accountancy’s agent status.
CLAC’s
legal representative, McGrigors law firm, declined to
comment on the latest development in its client’s case,
but a spokesperson for the accountancy said, 'We believe
HMRC have acted wrongly and improperly, and we will be
contacting them to demand an explanation of their conduct.'
Dave
Hartnett and Steve Lamey were the commissioners to take the
decision. Mr Hartnett, HMRC’s permanent secretary for tax,
said the department chooses to stop dealing with tax agents
‘only in exceptional circumstances where we have reason to
believe there may be serious irregularities in tax returns
and accounts.’
The Revenue
says it will write to all CLAC clients, past and present, to
inform them of the commissioners’ decision. Taxpayers who
believe there may be irregularities in their tax affairs are
invited to contact the department on 0113 228 3693.
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