27/08/16: Tax Tribunal Decisions Do Not Favour The Taxpayer

Saturday, August 27th, 2016

It is important for taxpayers to be aware of the miserable odds when appealing a HMRC decision to the Tax Tribunal.  According to HMRC the success rate for the taxpayer for the year end 2015/16 was 18%, a small increase from the previous year of only 13%.

The number of decisions formally appealed to an independent tax tribunal by taxpayers rose last year to 5,161 appeals.  Over the course of the year 3,917 appeals were settled either way by way of a formal hearing or by agreement before the hearing, a slight increase from 3,468, the previous year.

However, far better results can be obtained when requesting HMRC to undertake an internal review of their original decision.  HMRC say that their original decision was either varied or cancelled by reviewers in 57% of case for the year end 31 March 2016.

Please do not hesitate to contact M&R Tax Advisers if you want assistance to seek an independent review of a HMRC decision.  This firm specialises in indirect tax matters i.e. VAT, excise including revocation of WOWGR, Bonded warehouse approvals.