Ethos Action Update
Chambers of Setu Kamal
Work directly with an experienced tax barrister offering clear, strategic advice, practical representation, and a professional service tailored to your needs.
Work directly with an experienced tax barrister offering clear, strategic advice, practical representation, and a professional service tailored to your needs.
about
Setu Kamal is a tax barrister of 20 years’ call. He practised from Old Square Tax Chambers, 15 Old Square from 2005 till 2024 and is now a sole practitioner.
Setu is especially interested in the interface between UK and EU Member State domestic laws and international laws, such as the laws of the European Union and the European Convention of Human Rights. He has real concerns as to the legality of (say) APNs or the restriction on deductions for interest paid by landlords.
His other special interests include the popularisation of trusts for the consumer base and the taxation of contractors and employees, corporation tax deductions, employee and remuneration trusts.
Other areas of expertise include CGT mitigation and inheritance tax planning (including deathbed planning), residence and domicile, SDLT mitigation (leases, sub-sales, partnerships, high rate threshold, multiple dwelling relief, incorporation, group relief and section 75A), high value residential property, the GAAR, DOTAS and Follower Notices.
Setu studied at the Doon School, Millfield School, University College London, King’s College London and BPP (Conversion and Bar Vocational Course). He was called to the Bar in 2004 and commenced his practice in 2005.
direct access
Setu is authorised to accept instructions directly from clients, without the need to go through a solicitor or accountant.
He is also authorised to conduct litigation, meaning clients are not left to handle procedural matters such as completing forms, drafting correspondence, arranging witnesses, issuing proceedings, or attending tax tribunal hearings on their own.
With a background as a former practising solicitor and over 20 years’ experience at the Bar, Setu is well placed to provide a comprehensive legal service — from initial advice through to communication with HMRC and representation in legal proceedings.
I write to express my gratitude and confidence with regard to the precise and excellent work delivered to date by Mr Setu Kamal – Barrister. I am part of a group action involving the opponent known as HMRC, I have personally been on board since 2021. In that time my confidence has grown considerably with the strategising, deep dive knowledge and reporting conducted by Mr Kamal. This is top level analytical work that continually seeks to transport one’s position at least another step forward. Importantly Mr Kamal’s work has placed my anxiety with matters in a robust and controlled place. Anyone who has the misfortune to experience a complex challenge by HMRC should be considering Mr Kamal. I for one remain steadfast that if a favourable solution can be achieved for the group action, he is one of a select few who has all the necessary capabilities and experience to achieve that goal.
Steve Macdonald, LCD Group
Past Clients
I write to express my gratitude and confidence with regard to the precise and excellent work delivered to date by Mr Setu Kamal – Barrister. I am part of a group action involving the opponent known as HMRC, I have personally been on board since 2021. In that time my confidence has grown considerably with the strategising, deep dive knowledge and reporting conducted by Mr Kamal. This is top level analytical work that continually seeks to transport one’s position at least another step forward. Importantly Mr Kamal’s work has placed my anxiety with matters in a robust and controlled place. Anyone who has the misfortune to experience a complex challenge by HMRC should be considering Mr Kamal. I for one remain steadfast that if a favourable solution can be achieved for the group action, he is one of a select few who has all the necessary capabilities and experience to achieve that goal.
Steve Macdonald, LCD Group
Setu has been a tremendous advocate, his cerebral and often very imaginative arguments are conveyed to us mere mortals in a very comprehensive and thorough fashion. He has done a fantastic job of helping navigate the complex, bewildering and sometimes terrifying world of tax law and all done with a very wry sense of humour. I couldn’t recommend him more.
Jamie
Setu is a highly professional and diligent individual with a wealth of knowledge in his field. He is consistently hard-working, reliable, and always reachable for support or consultation.
Dr Maral Fuller
As a philistine in the matter of law, I have always appreciated the ability of Mr Kamal to navigate into the maze of British law and always taking the time to articulate the logic behind the choices being made.
Michael
Mr Kamal has been dealing with a complex taxation matter on behalf of myself in recent years. During the course of our communications, I have found Setu to display integrity, intelligence and professionalism. I have absolute confidence in his ability to deal with the most unfortunate matter that has befallen me and my family and would highly recommend him to anyone seeking similar counsel. Please note that as a Director of Flight Operations, I am nominated by the aviation authorities where I practise and therefore am bound to display similar integrity and honesty when providing mails and references such as this.
Niall Finucane, Captain, TRI/TRE
Setu Kamal has kept me informed of each step in the pursuit of justice for me as a Loan Charge victim. His professional and informative communications offer reassurance that one is not alone in the battle with an out-of-control HMRC.
Russ M.
I have now known Setu Kamal it must be for 10 years. His Tax knowledge and general depth and appreciation of all things related thereto is exceptional. He is totally dedicated to his profession and unusually for a Tax Barrister has the ability to get his point across succinctly and in layman’s terms.
Alan G Kent
Setu is a delight, if he’s on your side, always prepared to take unusual approaches to your advantage.
Andy – Wandsworth
This is to testify that we have found Setu Kamal to be an upstanding, and hardworking individual who has kept his word, and, to the best of our knowledge, has diligently worked in the best interests of his clients.
Paul Hammond and Linda Hammond
I would just like to place on record how impressed I am with Setu Kamal’s detailed and diligent approach to the cases he has handled on our behalf for us and our clients. He is not only hard working but I particularly admire the way he will not be bullied by the establishment, where less experienced barristers might be inclined to give in and give up more easily
Michael Ogilvie
I have known and been a client of Mr Setu Kamal for a period in excess of 10 years. During that time, I have found him to be diligent, extremely capable with an outstanding knowledge of the law upon which he assists and represents me and would have no hesitation in recommending him.
Wayne Pulman
I have known Setu Kamal since 2018 when he: 1. Successfully defended me in any other respondents in a class action against the liquidator (HMRC) – Ethos Solutions 2. Representing me and others in the ongoing Loan charge defence i.e. against European HR legislation. I can thoroughly recommend Setu as he is hard working, will reply to your emails, will reassure you, and guide you against the onslaught of HMRC litigation. Setu is not only knowledgeable about Tax but is also a Tax barrister that thinks outside the ‘box’ and will doggedly fight for you.
Costas Lemonides
We would like to put on record our appreciation of the work undertaken on our behalf by Setu Kamal, barrister. He has been truly diligent in pursuing our case and the level of communication has been outstanding. We would not hesitate to recommend his services.
Andrew and Angela Ford
It is my view Setu Kamal is not only a hard-working lawyer but also one who is dedicated and focussed 100% to the Client. I find his rhetoric to be humorous but honest and easy for the person on the street to understand. Setu does not give up easily, which I admire him for and may this continue no matter the potholes that lie ahead in the journey. Thank you Setu.
Norman Moore
Setu is a truly distinctive Tax Barrister, approaching each tax issue with the understanding that if HMRC manages to knock down the first argument, he always has multiple strategies in reserve, allowing him to persistently challenge and adapt, never backing down.
Peter
Setu Kemal is an excellent, hard-working lawyer, dedicated to protecting his clients from an oppressive State. I recommend him highly to any prospective client
Perry Offer, September 2024
I have been working with Setu for about two years. He is both astute and conscientious and furthermore extremely eloquent in regard to the law. I have no reservations recommending Setu to those seeking both legal advice and legal action.
Dr Chris Ireland
In my hour of need and that of many others, Setu stepped up and took on the good fight against HMRC in the matter of their frankly unbelievable adoption of retrospection in tax law. The Loan Charge is an appalling piece of legislation that cannot be allowed to set a precedent. Setu has worked tirelessly and with imagination, great good humour and charm to tackle this problem and despite many efforts by the establishment to stall the process, has been utterly relentless. I would thoroughly recommend his services in tax law and indeed, any other field.
Robin Wells
SUCCESS
THE KING (on the application of Oculus Limited) v HMRC AC-2023-LON-000713
As for ground 6, that the sending the form AAG6 is ultra vires, I consider that this ground of challenge is arguable.
The argument of the Claimant is that HMRC does not have the power to require GAL to send out the information warning taxpayers about the impact of their involvement in a tax avoidance scheme: see paragraph 10 above. It is arguable that that information is not part of the “prescribed information” that the person making the arrangements should be required to send.
It is arguable that the information in the AGG6 form — identified at paragraph 10 above — falls outwith the various matters set out in regulation 6 of the 2012 Regulations, in that it is not one of the matters listed in that regulation.
I consider that is arguable that the power to “specify the form and manner” in which the information required to be provided under section 312ZA of the Finance Act 2004 (as prescribed by the 2012 Regulations) does not extend to the material referred to in the AGG6. It is arguable that “the form and manner” relates to how the prescribed information is supplied but does not empower HMRC to require additional information – including HMRC’s warnings about the scheme – to be sent to the scheme users.
I do not consider that the Claimant should be refused permission on ground 6 on the basis that it lacks standing to proceed by way of judicial review. The Claimant plainly has an interest in the matter as it is, at least, indirectly affected by the issuance of the SRN and the requirement to send the AAG6 form. Whilst there are parties (GAL, and Umbrella Contracts Limited) who were directly affected, and may be better placed to bring the claim, they have not brought the claim, and so it cannot be said that allowing the Claimant to bring the claim will increase the costs of the litigation: c.f. Jones & Ors v The Commissioner of Police for the Metropolis [2019] EWHC 2957 (Admin) at §62. Furthermore, I consider that the lawfulness of the AGG6 form is a matter of wider interest, and it is important for the rule of law that the arguments should be tested at a substantive hearing.
26. As for ground 6, that the sending the form AAG6 is ultra vires, I consider that this ground of challenge is arguable.
2024 Amendment by HMRC of Form AAG6 following grant of permission in Oculus hearing. Joint agreed statement:
2. Since the time when permission to apply for judicial review was granted, HMRC have modified Form AAG6 such that it no longer contains the wording that Sheldon J thought might be unlawful.
CHRISTOPHER PURKISS v TIM KENNEDY and OTHERS [2024] EWHC 1081 (Ch)
6. The Respondents dispute every stage of the Applicant’s case, save that it is accepted that the Scheme is a composite transaction.
56. The Applicant has failed to show that s.423(3) is satisfied.
CHRISTOPHER PURKISS (as Liquidator of Ethos Solutions Limited) v TIM KENNEDY & 34 OTHERS [2022] EWHC 3098 (Ch)
66. Mr Kamal objects to the proposed amendments on four grounds, which may be summarised as (1) Henderson v Henderson (2) no real prospect of success (3) limitation and (4) discretion.
142. Whilst the proposed unjust enrichment claim in the present case is not based on failure of basis, the parallels are obvious. Tax planning was at the heart of the Scheme. It was the very reason for the Company’s existence. As Mr Kamal put it, it was the ‘DNA’ of the Scheme. The documentation sent out by the Company to the employees expressly acknowledged that tax laws could change (Exhibit ‘CP1’ page 120). The risk of a change in tax treatment was plainly in the contemplation of the parties at the time of entering the contract.
178. Mr Kamal submits that the courts do not generally make hypothetical declarations, referring me to Argosam Finance Co Limited v Oxby (Inspector of Taxes) and another [1963] AC 2852. This was an application for a declaration in a case involving a hypothetical tax issue.
201. A key issue arising on (c) in my judgment is the counterfactual posed by paragraph 26Ca(iii) DRAPOC. In this regard Mr Kamal referred me to the case of Re One Blackfriars Ltd [2019] EWHC 1516 (Ch) at [67]. Mr Sims sought to play down the impact of the proposed introduction of a counterfactual, claiming that what the Company would have done was a ‘no brainer’. For reasons already explored at paragraphs 126 to 129 of this judgment, however, the position is not as clear-cut as the Applicant would wish it to be. Exploring this issue would require witness evidence and documentary evidence on matters entirely distinct from those required for the s.423 claim.
226. For the reasons set out in this judgment, I shall dismiss the remainder of the Re-Amendment Application.
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