HMRC succeeded in 86% of appeals decided in the First-tier Tribunal in the year to 31 March 2021, up from 82% and 75% respectively in the preceding two years, reports Pinsent Masons.
Jake Landman, partner at Pinsent Masons, said: ‘HMRC’s increasing success rate indicates that taxpayers should only take HMRC to a tribunal or court as a last resort … If possible, taxpayers should look to settle tax disputes outside of court through alternative dispute resolution or resolve them in the most favourable way possible during HMRC’s enquiry process.’
Perhaps unsurprisingly, out of 38 cases involving tax avoidance 35 were decided wholly or partly in HMRC’s favour – a success rate of around 92% and reflecting the tribunals’ approach to avoidance arrangements.
HMRC succeeded in 86% of appeals decided in the First-tier Tribunal in the year to 31 March 2021, up from 82% and 75% respectively in the preceding two years, reports Pinsent Masons.
Jake Landman, partner at Pinsent Masons, said: ‘HMRC’s increasing success rate indicates that taxpayers should only take HMRC to a tribunal or court as a last resort … If possible, taxpayers should look to settle tax disputes outside of court through alternative dispute resolution or resolve them in the most favourable way possible during HMRC’s enquiry process.’
Perhaps unsurprisingly, out of 38 cases involving tax avoidance 35 were decided wholly or partly in HMRC’s favour – a success rate of around 92% and reflecting the tribunals’ approach to avoidance arrangements.
