David's  main area of expertise is in tax litigation, corporate debt and financial services. In litigation he has conducted judicial review, investigation and excise duty cases, as well as conventional tax appeals.  He has particular familiarity with Eurobond and Euronote issues, infrastructure and PFI projects. In these areas he is able to drawn on his previous working experience in banking.

Recent litigation includes:

BAA Ltd v R & C Comrs [2010] UKFTT 43(TC).  The issue was wehther the VAT incurred on the costs of acquring all the share capital in BAA plc was recoverable.

Harding v Revenue and Customs Commissioners [2008] STC 1965 (High Court), [2006] STC 3499 (Court of Appeal).  This conerns the   definition of qualifying corporate bonds.

Fleming (T/a Bodycraft v Revenue and Customs Commisioners [2006] STC 864 (Court of Appeal); [2008] STC 324 (House of Lords)  David Southern was leading counsel for the taxpayer in this case, which the Financial Times (24 January 2008) described as 'the most important VAT case of the decade' and as  'involving the repayment of  several billion pounds of tax' (current estimate of value of recoveries - £13-15 billion).  The case concerned the validity of time limits barring the recovery of VAT, and is now the leading UK case on the disapplication of national law where it is incompatible with Community law.  

R (on application of Bamber) v Revenue and Customs Commissioners [2006] STC 1035;  [2008] STC 1847. This was a case in which  judicial review was sought of a  Revenue decision to abrogate agreement for fixed rate expense allowances for aircrew and airline cabin staff 

Tax Practice

David's recent experience includes work in the following areas:

• advising on,  drafting and conducting Fleming claims
• advising on debt issues and debt restructuring
• tax and accounting treatment of private finance initiative (PFI) projects
• disposal of assets through derivative structures
• transfer pricing in relation to intra-group debt and international debt offerings
• judicial review of Revenue decisions
• settling and drafting loan notes
• advising retail and investment banks on structured products
• company reconstructions
• eurobond and euronote issues

Government Work

David has performed a number of consultancy tasks for foreign governments and institutions, including:

• Latvian government - VAT code
• European Commission - approximation of laws
• Budget Affairs Commission, PR China - corporate income tax

David  acts as expert witness in foreign courts.