F1 champion loses £1.4million tax battle with HMRC as court rules on buffalo farm

Ferrari 312 T4, Scheckter, Ferrari, 1979, generic — Photo: © IMAGO

Jody Scheckter

F1 champion loses £1.4million tax battle with HMRC as court ruling announced

Ouch!

Chris Deeley Editor

Experienced sports writer covering F1 and other motorsports since 2023

Thursday 17 September 2026 12:27 Updated: 12:42

Make us your Google favorite

Former F1 world champion Jody Scheckter has been hit with a massive £1.4million tax bill, albeit not one that is de rigueur for former sportsmen.

The 1979 champ has lost a long-running battle with HMRC over taxes payable on his old buffalo farm in Overton, Hampshire, having poured more than £50m into the endeavour.

A tax inspector ruled that the former Ferrari driver's buffalo farming partnership had wrongly offset its losses against profits from other parts of the former Ferrari driver's business in the late 2000s, using something called sideways loss relief - which is only available to relevant parties if the farm in question becomes profitable within five years of being set up.

Article continues under video

In Scheckter's case, that wasn't particularly close to being true, with the LLP Laverstoke Farm Produce losing money for almost every year it existed before it was closed in 2024.

F1 HEADLINES: Verstappen gets first race win of 2026 and gets green light for series switch

Judge expresses 'regret' over Scheckter tax bill

Judge Tony Beare dismissed Scheckter's appeal against the £1,457,634 bill in the tax chamber of the First Tier Tribunal this week, but admitted that he regretted handing down the verdict, praising the former racer's motives in setting up his farming business.

He said: “It is impossible to have been involved in this case without feeling considerable sadness at how a project which was conceived with such imagination and originality by the appellant and on which he expended so much financial capital and personal energy has turned out.

“He was ... extremely passionate about the positive effects which healthier eating would engender for everyone and wanted the business to be a model for organic farming and healthier eating across the world.

“We would be remiss if we did not conclude this decision by acknowledging that and expressing our profound regret for the way that things developed, regret which is compounded by the conclusions which we have felt compelled to reach in the present proceedings.”

Jody Scheckter was world champion for Ferrari in 1979.

Scheckter admitted mistakes over farming business

“His aim in starting the business was to produce the purest, best quality, organic food, to do so on a large scale, which was something that no-one else in the market was doing at the time and ultimately to make profits," the judge added.

“He admitted that he had made mistakes. He had thought that he could replicate his success in relation to FATS [Scheckter's old Firearms Training Systems business] in the US in this different context.

“However, he had under-estimated the differences between the two businesses and the difficulties to which that gave rise.

“He had spent too much money and over-committed because he wanted to move fast and create something substantial but, in this case, he should have been more circumspect and listened to the experts who were telling him not to proceed in such haste.

“The business faced many challenges and a number of factors contributed to the losses. It was difficult for an organic farming business to make a profit for a considerable period after commencement, particularly in the late 2000s.”

'MAX vs 100' RESULTS: Final times and positions as Verstappen makes 64 overtakes on LAP ONE

F1 Jody Scheckter