ADR is an effective way to resolve VAT disputes with HMRC, as it avoids the costs and uncertainties of tax tribunals. The process involves a facilitated negotiation between the parties, aiming to reach an agreed settlement. ADR encourages open dialogue, with the facilitator playing a key role in challenging both sides to consider the strengths and weaknesses of their arguments. The “without prejudice” nature of ADR also encourages more candid dialogue. In a recent case, ADR was used to resolve a dispute about ‘unjust enrichment’, where HMRC had denied a VAT refund claim.
Source: mha.co.uk
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
