Appealing a VAT Penalty

Appealing a VAT Penalty

How can I appeal against a VAT penalty from HMRC?

By Carl Stanford

Appealing against a VAT penalty from HMRC means following the guidelines relating to an indirect tax appeal.

When you’re first told about the penalty, HMRC will also offer to you the opportunity to have the decision reviewed. An officer who had absolutely no previous involvement in the original decision to issue a penalty will carry out this review.

Case Reviews

If you’d like your case to be reviewed, then you need to respond to the penalty charge in writing, to the address outlined on the letter, and no later than 30 days after the date the decision was reached.

In order for a review to be carried out, you need to provide HMRC with the following:

From there, the process should be completed within 45 days, though some cases can take longer, in which case you’ll be informed by HMRC.

Tribunal Appeals

If you’re still dissatisfied with the conclusions of the review, the next step is to take your appeal to the tribunal. This has to be done within 30 days of the decision being made.

If, within the 30 days, you’ve neither replied to HMRC nor appealed to the tribunal, it will be assumed that you agree with the findings of the review and are happy to pay any penalties declared.