Tax is an emotive subject and, unfortunately, HM Revenue and Customs (HMRC) do not always get it right. However, there are steps that you can take to rectify matters if you are unhappy with either a tax decision or the service that you have received from HMRC.
Disagree with a tax decision?
If you do not agree with a tax decision, the first step is to contact HMRC to query it. It may be something that can easily be sorted out over the phone.
The appeals system allows you to appeal against a decision that you do not agree with, as long as the decision is one where a right of appeal exists. You can appeal against a decision regarding the amount of tax or relief due or against the imposition of a penalty if you believe it is not due or that you have a reasonable excuse. It is also generally possible to appeal against a request to provide information. It is important that an appeal is made within the 30-day appeal window. An appeal can be made either on the form enclosed with a decision letter, if provided, or by writing to HMRC. It is important that you state that you disagree with HMRC’s decision and why and also that you provide what you think are the correct figures and how you have calculated them.
If you disagree with HMRC’s response to your appeal, you can ask that they review the decision. The review will be carried out by someone who was not involved in the original decision. A review may take up to 45 days. If you are still unhappy, you can appeal to the tax tribunal. However, this must be done within 30 days of the review decision.
You may be able to delay paying the disputed tax while the appeal is ongoing by postponing the amount under dispute. However, if it is later found to be due, interest is charged where payment is made after the due date.
Unhappy with HMRC’s service?
In the event that you are unhappy with the service that you have received from HMRC, it is advisable to contact them as soon as possible. Complaints of this nature may arise if you feel that HMRC have taken an unreasonable length of time to deal with an issue or you have a concern as to how you have been treated. If the complaint cannot be resolved by calling the relevant helpline or the member of staff with whom you were dealing, you can ask that it is passed to a customer service adviser. Alternatively, you can request to speak to a customer service adviser in the first instance. Complaints can also be made in writing.
Hopefully, HMRC will manage to resolve the matter to your satisfaction in a timely fashion, apologise if they are in the wrong and put matters right. They will also consider covering reasonable costs, such as professional fees, postage etc., that arose as a result of their actions.
In the event that you remain unhappy after HMRC have considered your complaint, you can ask them to look at it again. The complaint will be investigated by a different customer service adviser. However, HMRC will not look at it a third time if you remain unhappy.
This does not mean that you have to accept their decision. If you remain unhappy you can refer the complaint to the Adjudicator. However, you must go through the HMRC complaints procedure before contacting the Adjudicator. The Adjudicator will look at the complaint and give a final response. Details of how to complain to the Adjudicator can be found on the Adjudicator’s Office website (see www.adjudicatorsoffice.gov.uk).
Practical Tip:
If you do not agree with a tax decision or are unhappy with the service provided by HMRC, a simple phone call may be all it takes to resolve matters. If matters remain unresolved, you can follow either the formal appeals or complaints process, details of which can be found on the gov.uk website (see www.gov.uk/complain-to-hm-revenue-and-customs).
