Over 400 applications from individuals and small firms
HMRC have hailed as a success their alternative dispute resolution (ADR) service, after receiving more than 400 applications.
The pilot of ADR was launched in early 2011 to be used by individual taxpayers and small businesses. It provides a different way of settling disagreements over tax matters by bringing in an independent facilitator to mediate discussions between the two parties.
The facilitators are specially trained Revenue officers who are not involved in the dispute. The service does not affect existing processes or review and appeal rights, and covers VAT and direct taxes. Officials are considering an extension to cover large and complex cases.
The taxman’s director of local compliance, Richard Summersgill, said, “ADR has shown that many disputes, where an impasse has been reached, can be resolved quickly without having to go to tribunal.”