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14 May 2021 / Nick Leigh, Rosenblatt
Issue: 7932 / Categories: Opinion , Tax , Costs , Procedure & practice
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The SKAT revenue rule decision

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Nick Leigh reports on the occasional eyebrow-raising qualities of tax law

The SKAT case is one of the biggest civil litigation claims before the English court. Mark that—was.

In a huge decision, the entire multi-billion pound matter has been disposed of at the first opportunity by the court.

The claims—SKAT is short for Skatteforvaltningen, the Danish Customs and Tax Administration—had been brought as part of a wide-reaching pursuit to recover circa £1.5bn lost in 2012 to 2015 to dividend tax reclaims SKAT alleged it was not liable to pay.

Its various causes of action—against more than 100 defendants in total—included allegations of fraud, negligent participation and negligent misstatement.

The litigation was so vast, the trial was anticipated to last more than a year. Two mini-trials to address preliminary issues that would subsequently inform the main proceedings were themselves on the scale of serious High Court litigation.

It is the first of such mini-trials that has given rise to the decision of Mr Justice Andrew

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NEWS
The Law Society RFC Festival of Sport returns next month, bringing together legal and financial services professionals for one of the sector’s largest annual sporting events
Legal aid deserts leave almost one in four without adequate access to justice
The Solicitors Regulation Authority (SRA) has warned solicitors and law firms that using artificial intelligence does not alter their professional obligations, amid concerns over inaccurate legal material and client confidentiality
From forgotten interest claims to case-management appeals, a string of procedural developments offers useful—and occasionally cautionary—lessons for practitioners

Jonathan Fisher KC highlights that it now accounts for around 40% of criminal offences, with roughly 70% involving technology, and argues that the UK cannot simply prosecute its way out of the problem. Detection, investigation and prosecution all require improvement, while different fraud types demand tailored responses.

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