Section 58 Finance Act 2008
1.	Targeted a tax planning scheme which had been in use since 2001. This had been fully disclosed every year through self-assessment.
2.	Retrospective tax going back 7 years. Retrospective accrued interest of up to 50%.
3.	HMRC knew about it right from the start. They notified tax offices about it in July 2002 via Technical Exchange 63.
4.	3000 people affected. Majority unable to pay, fearing bankruptcy & losing their homes.
5.	After a 3-year legal challenge, courts have ruled that it does not breach human rights. HMRC now preparing to issue retrospective tax demands.
6.	HMRC planned to list 4 test cases before the Tax Courts in early 2006 and asked Scheme users to be bound by the outcome. We agreed.
7.	The 4 test cases were never heard of again.
8.	HMRC changed its view on the scheme in Autumn 2007, claiming that it was caught by legislation from 1987.
9.	Instead of testing this new view in court, HMRC recommended that the Government legislate with retrospective effect.
10.	HMRC asserted that Section 58 merely clarified the 1987 legislation which itself was retrospective. This was a contrived deception.
11.	The 1987 legislation only prevented people making windfall tax relief claims after a taxpayer (Maurice Padmore) won a court case against the Inland Revenue. The then Conservative government stated that there was a risk that the Exchequer would have to pay out £100M in windfall claims.
12.	The 1987 legislation did not retrospectively tax anyone. It did not raise a single penny in revenue. 
13.	Therefore, by a sleight of hand "clarification", a non-tax raising measure from 1987 was transformed into a fully retrospective tax in 2008. HMRC justification was that there was a risk to the Exchequer of £200M. There was no risk since, unlike 1987, no monies could flow out of the public purse.
14.	Conservative and LibDem MPs tabled an amendment to remove the retrospective element but it was defeated by the Labour majority.
15.	We are now calling on Parliament to amend Section 58 so that it complies with the "Rees Rules" and takes effect from the date the measure was first announced - Budget Note 66 on 12th March 2008.
16.	This would put us back to the position where HMRC could proceed with litigation on the basis of the law as it stood prior to 2008.