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Listen "Prudential Assurance Co Ltd v HMRC [2018] UKSC 39"
Episode Synopsis
Payment of interest on a debt can either be a lower level of simple interest or a higher level of compound interest. In this episode we consider what type of interest the government should have to pay when refunding tax that had been collected by mistake. Precedent suggested that compound interest was owed even though this might cost the UK taxpayer £5 billion but it was up to the Supreme Court to decide whether this should be upheld.
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