The taxman is going to adopt a new aggressive approach to the collection of tax debts, where a dispute is being appealed through the courts from 1st April next year.
When you have a dispute with the tax office you can appeal to an independent body – The Tax Tribunal. From there the appeal can go through the courts – right up to Supreme Court (previously the House of Lords).
Where the Tax Tribunal or court has found in favour of the taxpayer but there is further appeal by HMRC, the taxman will repay overpaid tax. But where there is a judgement in the taxman’s favour, then in direct tax cases (e.g. Income Tax, Corporation Tax, Capital Gains Tax) HMRC does not currently collect the tax until the taxpayer’s appeal is final. Now HMRC has decided to take a more aggressive stance. The full taxwill have to be paid if a taxpayer loses at the Tribunal; even if they are appealing to a higher court. The change of practice will apply to all decisions made by the Tax Tribunals or Courts from 1st April 2010.
Do I need specialist help with my tax appeal?
The Tax Tribunal is an independent body which adjudicates in disputes with HMRC. Taking an appeal to the Tax Tribunal can be a highly effective way of resolving disputes with HMRC. However, the taxman uses specialist ‘Appeals’ teams to lead its cases at Tribunal.
Lynam Tax Dispute Experts have decades of experience in handling contentious tax appeals and can assist taxpayers and their accountants with the process; in order to achieve the optimum results.
If you need help with a difficult tax dispute or a contentious tax appeal call Paul Lynam now for a confidential and no obligation discussion on: 0845 643 9997.