New tax appeals system
The tax appeals and tribunal systems changed with effect from 1 April. HMRC have now published guidance to explain how the new appeals system works for both direct and indirect taxes.
Taxpayers who disagree with a decision from HMRC may in most cases appeal the decision. If following this appeal agreement cannot be reached taxpayers are left with the following options:
• a review by HMRC
• an appeal to the independent tribunal
There are new statutory rights which can be used before an appeal is made to the tribunal. These new statutory rights allow for a review of the issue by an independent HMRC officer. This new process has been designed to help reduce the need and expense in involving the tribunal in every disagreement with HMRC.
The review will usually be completed within 45 days. When the review has been completed the review officer will write and inform taxpayers of their decision. Taxpayers retain the right to make an appeal to the tribunal within 30 days following this decision.