Geoff Jones of Arctic Systems has won his landmark Section 660A appeal. The case, supported by the Professional Contractors Group (PCG), was heard in the Vice Chancellor's court, by the Chancellor of the High Court, Sir Andrew Morritt, with Lord Justices Keene and Carnwath in November.

Welcoming the judgment, PCG chairman Simon Juden, said, �This is the best Christmas present for the UK�s small family businesses. It means proper recognition for the hundreds of thousands of people who choose to run their own businesses, share the burdens and the hard work with their partners, and rightly expect to share the profits of their efforts.�

Jones, who was at the Royal Courts of Justice with his wife Diana, said, �This is the end of three years of uncertainty for us � at one point we thought we�d lose our home. It�s been extremely stressful and we�ve been made to feel like criminals, just for running our own business. What�s more, by organising our affairs in this way, we were simply following government advice and that of our accountants.�

Dr Juden said, �We hope that the Government will scrap the uncertainty, unfairness and inconsistency of legislation like this, which meant that the goalposts suddenly moved for thousands of small businesses. We hope this marks the beginning of a fairer approach to tax on small businesses.

�PCG will continue to campaign for clarity, consistency and common sense in regulation and legislation. We�d like to thank all of those who generously supported this case - James Kessler QC, PCG members, Berg Kaprow Lewis, the Federation of Small Businesses, JSA and members of the public.�

Read the full analysis by Dave Smith at Accountax�