Frequently asked questions
- What is an appeal?
- Who are the Special Commissioners of Income Tax?
- What HMRC (previously Inland Revenue) decisions can I appeal against?
- What about Tax Credit appeals?
1. What is an appeal?
This may be in connection with:
- Your tax liability
- The imposition of a penalty or surcharge
- Entitlement or liability to pay NIC, SSP or SMP and related matters, or
- Matters relating to National Insurance contributions you have paid
There may be disputes over interpretation of the law or over facts, information or figures you have provided. If HMRC do something you may appeal against, they will always tell you that you have a right to appeal and provide an appeal form.
The appeals procedure is laid down by law. It exists so that disagreements between you and HMRC can be settled. Usually an agreement is reached by correspondence or discussion and in most cases, HMRC will be able to settle things with you personally, so that you do not need to go the tribunal. But if they cannot accept the facts, figures or information you have provided, or if they disagree with you on a point of law, you can take your appeal to an independent tribunal, The General Commissioners of Income Tax.
2. Who are the Special Commissioners of Income Tax?
Special Commissioners of Income Tax deal with appeals against assessments made by HMRC authorities and against certain decisions of HMRC. They are an alternative tribunal to the General Commissioners in relation to many appeals but in some appeals the Special Commissioners have exclusive jurisdiction. The Special Commissioners cannot hear appeals against the General Commissioners.
Unlike General Commissioners, who are unpaid lay individuals, the Special Commissioners are paid legally qualified judicial officers. The Special Commissioners and the tribunal staff are entirely independent of HMRC. They cannot therefore deal with complaints against Inland Revenue officials.
You can ask for your appeal to be heard by either the General or Special Commissioners of Income Tax. If you want to appeal to the Special Commissioners, you should elect to do this when you make your appeal. The General Commissioners hear most appeals, but some can only be heard by the Special Commissioners.
The General Commissioners can also transfer an appeal to the Special Commissioners of Income Tax. They would normally do this if they considered that the appeal was likely to be very complex, and to take a long time to hear. If the General Commissioners are considering transfering your appeal to the Special Commissioners because of the length or complexity of the case, they will tell you and call a meeting. If you, or the Inland Revenue, object to the transfer, you can say why and the General Commissioners will listen to what you have to say before making a final decision.
Special Commissioners normally sit in London, Edinburgh and Belfast. But they will consider applications to hear appeals in any city or town if you can show that you need a local hearing. For more information refer to the Finance and Tax Tribunals.
3. What HMRC (previously Inland Revenue) decisions can I appeal against?
As a general rule, the General Commissioners hear appeals against the following types of things. This is not an exhaustive list.
Tax Appeals
- A notice sent to you requesting documents or information during an enquiry into your Self Assessment
- An amendment that Inland Revenue makes to your Self Assessment at the end of an enquiry
- A tax assessment that Inland Revenue makes on you
- Amendments made by the Inland Revenue to claims for relief made outside a return (for example, interest paid on a loan)
- Applications (for example, for a sub contractor's tax certificate)
- PAYE coding notices
- Determinations (for example, of penalties, PAYE tax, student loans tax or tax credits due from an employer)
- Surcharges
National Insurance Contributions, Statutory Sick Pay and Statutory Maternity Pay Appeals
Appeals can also arise in connection with decisions on:
- Employment status (for example, employed or self employed, and including for the purposes of industrial injuries)
- Liability to pay Class 1, 1A or Class 2 contributions and the amount payable
- Entitlement to pay voluntary contributions
- Matters relating to National Insurance contributions that you have paid
- Matters relating to Statutory Sick Pay or Statutory Maternity Pay entitlement and recovery
4. What about Tax Credit appeals?
Tax Credit appeals are heard by the Social Security and Child Support Appeals Tribunal (although it is the governments present intention that these appeals will eventually go to a tax tribunal). See the Social Security & Child Support Appeals Tribunal for information about how to appeal against a decision on your tax credits.
