Alternative dispute resolution (ADR) has become part of normal HMRC business with individuals and small and medium-sized enterprise, the department has announced.
The launch follows extensive consultation with professional bodies and the voluntary sector, and a two-year trial period that the Revenue claimed as a success.
Alternative dispute resolution (ADR) has become part of normal HMRC business with individuals and small and medium-sized enterprise, the department has announced.
The launch follows extensive consultation with professional bodies and the voluntary sector, and a two-year trial period that the Revenue claimed as a success.
The new system is intended to provide a different way of settling disagreements between tax officials and taxpayers. It uses an independent facilitator to mediate discussions between the two parties, covers VAT and direct taxes, and does not affect existing processes or review and appeal rights.
The taxman’s director of local compliance, Richard Summersgill, said, “I am delighted to announce that ADR... has entered mainstream HMRC business. Evidence has shown that by using the simple service, many disputes can be significantly shortened and resolved without recourse to tribunal.”
He added that taxpayer feedback has led to the creation of a new national team of specially trained facilitators to help resolve tax disputes.