HMRC takes £200,000 hit for Portsmouth appeal
Judge rules that HMRC must pay £200,000 towards administrators' solicitors over failed Portsmouth CVA appeal
The taxman must pay £200,000 towards the costs of solicitors used by
Portsmouth’s administrators after HM Revenue & Customs failed in the courts
to derail the CVA process.
This afternoon judge Justice Mann ruled against HMRC’s appeal of unfair
treatment in its right to vote down a CVA process being entered by the club, he
awarded costs of £200,000 against the taxman towards solicitor’s cost for the
opposing side.
Administrators had asked for 70% of its costs to be paid, at £250,000. HMRC’s
lawyers argued that the fee per hour billed was excessive, adding that the
taxman should not pay any more than £150,000.
Justice Mann agreed the rate was excessive, but chargeable hours were not. A
fee of £200,000 was set by the judge.
Further reading:
Portsmouth
see off HMRC’s CVA appeal