Tax Appeals and Tax Tribunal
If you want to challenge certain decisions issued by HM Revenue and Customs (HMRC). The UK Border Force or the National Crime Agency (NCA) then these matters can be appealed to the First-tier Tribunal, Tax chamber. Also referred to as the Tax Tribunal.
The Tax Tribunal is independent of the government. They will listen to both sides of the argument before making a decision. If you wish to appeal a matter to the tribunal you must appeal within a certain time frame. It is important to ensure that you are aware of your options. This is to ensure that you don’t miss any deadlines to appeal. If you are out of time, there may be an opportunity to submit and appeal out of time. We would be able to guide on this position were it ever to arise.
The Tax Tribunal is more relaxed than the court process. Parties usually still need to each submit their position in writing. Then to provide evidence and witness statements, in support of their position and attend a final tribunal hearing. The hearing will be to assess and decide on the matter (except in certain circumstances).
Case Study – Success In The Tax Tribunal
Altion Law was able to assist a business where mobile phones had been purchased for onward sale, but were seized by UK Border Force. The business was regularly importing mobile phones into the UK, with all required VAT paid upon the imports before the mobile phones were sold on through the internet.
When damaged phones were received and returned to the original supplier for repair, the re import into the UK following repair attracted the attention of UK Border Force. Border Force seized the phones for non-payment of VAT on the purchase.
The position of repair not original purchase was challenged with UK Border Force, although UK Border Force did not agree with Altion Law at review stage.
Altion Law then took the matter through the Tax Tribunal and was successful. The Tax Tribunal ordered that the decision made by UK Border Force was one that could not have been reasonably arrived at. UK Border Force were ordered to re consider the restoration request taking various aspects into account when doing so. This Tax Tribunal decision was made despite no challenging for condemnation being made through the magistrates court, showing that you can succeed in the Tax Tribunal even where condemnation is not pursued in certain circumstances.
For a confidential free discussion, call us today on 01908 414990, alternatively email us at Hello@altion-law.co.uk or complete our Free Enquiry Form and we will call you back.
Direct Tax
In relation to disputes regarding ‘direct tax’. For example Income Tax, PAYE tax, Corporation Tax, Capital Gains Tax. Or National Insurance contributions, you must appeal to HMRC first before appealing to the Tax Tribunal. You may then appeal to the tribunal is you are still unsatisfied with the outcome.
Indirect Tax
In relation to ‘indirect tax’, for example VAT, excise duty, customs duty, you can usually appeal straight to the tribunal should you wish. You can also refer the matter back to HMRC for another officer. An officer, not previously involved in the matter to reassess first if you would refer. It can sometimes be more cost, and time effective to refer the matter back to HMRC.
At Altion Law we will clearly assess your position, and advise you on the options available to you. We will detail what is involved so that you can make an informed decision as to how to progress.
If HMRC have issued you with an assessment and/ or wrongdoing penalty, these could also be appealed to the Tax Tribunal if you disagree with HMRCs decision. However, again there are deadlines to appeal to the tribunal. So it is important to ensure that you are aware of what has been issued and why.
Case Study – Challenging in Tribunal
At Altion Law, we regularly assist clients facing tax disputes and urgent deadlines for a Tribunal appeal. In this case, our client approached us for advice and representation regarding a serious dispute with HMRC over late payment of Capital Gains Tax (CGT). HMRC had issued late filing and payment penalties totalling £20,000, creating significant personal liability.
Our client had relied on their accountants for CGT guidance but was never informed about recent legal changes that altered CGT payment deadlines. Unfortunately, the accountants failed to advise on these changes, leading to missed deadlines and HMRC penalties.
With the Tribunal appeal deadline fast approaching, our client was concerned about escalating penalties and urgently needed specialist legal advice. Previous attempts to appeal—both by the accountants and the client—had been unsuccessful. As a last resort, our client contacted Altion Law to see if there was any way to challenge HMRC before paying the £20,000.
Altion Law’s Approach to HMRC Disputes
Our specialist Tax solicitors immediately reviewed all documentation, including HMRC penalty notices and correspondence with the accountants. After an initial assessment, we confirmed our client had strong grounds for challenging HMRC penalties. We advised on next steps, including:
• Drafting a robust HMRC notice of appeal.
• Providing legal guidance on evidence required to support the client’s case.
• Advising on strategies to minimize legal costs during the tax dispute process.
Throughout the process, we maintained clear communication, ensuring the client understood each stage of the HMRC dispute and Tribunal appeal.
Outcome: HMRC Penalties Successfully Removed
Our intervention resulted in a successful resolution. HMRC withdrew their appeal, eliminating the £20,000 liability. The entire process took approximately five months, and the client’s legal costs were around £2,200—saving them £17,800 compared to paying HMRC.
Why Timely Action Matters in HMRC Disputes
If you fail to dispute HMRC liabilities within the correct timescales, the debt becomes enforceable. HMRC may escalate matters by visiting your home or business or instructing debt collection agencies. If you receive an HMRC Notice of Enforcement or a letter stating your debt will be passed to enforcement, this is serious. Immediate legal advice is essential.
How Altion Law Can Help
We offer a staged approach to managing tax disputes:
• Initial Review: Assess the strength of your case.
• Formal Action: If your case is strong, we can proceed with HMRC appeals or Tax Tribunal appeals and negotiations.
• Alternative Strategies: Where it may be harder to successfully challenge matters, we advise on other mitigation options.
Make An Enquiry Today
Altion Law will guide you through any assessments and wrongdoing penalties received. Ensuring that an appeal can be made to the tax tribunal in good time if required.
For a confidential free discussion, call us today on 01908 414990, alternatively email us at Hello@altion-law.co.uk or complete our Free Enquiry Form and we will call you back.
“Professional and honest service who certainly know their business. Kept informed all of the time and it was smooth successful process”.
