At the First Tier Tribunal Bemal Patel, the founder and owner of Pharmaceuticals Direct, appealed against a HMRC closure notice in June 2023 relating to an overpayment relief claim of £475,961.

Patel was advised that the 5,905 square foot property he bought in London’s upmarket South Kensington area was non-residential on the date of the transaction as it was a building site and had planning and occupation barriers in force from Kensington & Chelsea Council.

In 2021 Patel bought two properties that were being converted into a development block which was not completed on Elvaston Place, and Elvaston Mews in Kensington. The two properties were bought for £6,679,616 with the intention to convert them into a single five-bedroom house for Patel’s use.