HMRC’s amendment of limited partners’ individual tax returns was lawful

De Silva & Anor, R (on the application of) v Revenue and Customs [2017] UKSC 74 considered an appeal to the Supreme Court by Jorge Manuel De Silva and Bernard Dokelman (the taxpayers). The taxpayers were limited partners in various limited partnerships and took part in marketed tax avoidance schemes.

The schemes were aimed at accruing trading losses through investments in films in order to set off those losses against income of the same or earlier years. The taxpayers invested in the partnerships in part by using their own money but principally by taking out non-recourse or limited recourse loans.