VAT ADR - VAT specialist advice during the HMRC VAT ADR process.

VAT ADR Consultancy

Our VAT ADR consultancy services are tailored to meet the unique needs of each business, providing bespoke solutions that are efficient and effective. The first step in the process is an initial consultation with one of SolveVat’s specialists. During this consultation, the specialist will review the details of the dispute and determine the best course of action.

Our ADR VAT experts have extensive experience in dealing with VAT disputes, and they understand the complexities of VAT law. They will work closely with businesses to understand the details of the dispute, including any relevant documentation or correspondence. Once they have a full understanding of the situation, they will develop a strategy for resolving the dispute.

VAT ADR Experts

Our ADR VAT experts are specialists in their field, and they have a deep understanding of VAT law and VAT regulations. They are also skilled negotiators who can work effectively with HMRC to resolve disputes. Their goal is to achieve a fair and just outcome for their clients while minimizing any financial or reputational damage.

In addition to their technical expertise, our VAT ADR specialists are also excellent communicators. They can explain complex VAT concepts in plain language and work closely with businesses to ensure that they understand the process and are comfortable with the proposed course of action.

The VAT ADR Process

VAT ADR is designed to be a flexible resolution tool to help resolve VAT disputes.  You can apply for VAT ADR at any stage of an enquiry and at any stage of the tribunal proceedings. VAT ADR can be used when:

• communications have broken down between you and HMRC
• there are disputes about the facts
• a dispute appears to be the result of a misunderstanding
• you want to know why HMRC has not agreed evidence you have given them, and why they want to use other evidence
• you’re not clear what information HMRC has used, and you think they may have made wrong assumptions.

Applying for HMRC VAT ADR

If you are applying for VAT ADR after HMRC has made a decision such as issuing a VAT assessment or after issuing some VAT penalties you must have either:

• accepted our offer from HMRC of a VAT review — you must wait for the review to end, appeal to the tribunal and have the appeal accepted before applying
• not accepted our offer of a review — you must appeal to the tribunal first, and have the appeal accepted before applying

We can help you to seek a VAT review of the VAT decision in dispute, and/or lodge an appeal to the VAT Tribunal and/or apply for VAT ADR as appropriate.

HMRC will advise within 30 days of receiving an application if VAT ADR is right for resolving your dispute.

The majority of ADR mediations take place via video link thus reducing the costs compared to a face to face meeting.

Principles at ADR

There are a number of principles at VAT ADR regarding all participants’ responsibilities. These principles include you:

• agreeing to provide more information if asked;
• responding to any requests within 15 working days; and
• committing to attending a meeting by telephone, video or face to face, within 90 days from when your application is accepted.

During the VAT ADR process an HMRC mediator who has been trained in mediation skills and techniques will work with you and the HMRC officer dealing with the issues in your case. They will help you both explore ways to resolve your dispute, including helping you: focus on the areas that need to be resolved; and re-establish communications, if needed.

Our VAT ADR specialists have been able to resolve some disputes with HMRC in favour of our clients by using the VAT ADR process solely by way of correspondence whilst others progress to meetings as outlined above.

If resolution of a VAT dispute cannot be achieved at ADR the matter can still progress to a hearing at the VAT Tribunal should that be necessary.

Average Costs & Savings

HMRC have stated that the number of cases resolved through ADR at 90% which equates to the number of cases successfully resolved by agreement as a percentage of the total number of ADR cases closed during 2021 – 2022.  Our experience as ADR VAT assessment experts produces a similar result since ADR was introduced.

Depending on the circumstances of a particular case a resolution can mean a VAT dispute is totally or partially resolved in our clients favour.

The cost of ADR will depend on the complexity of the matter under consideration and can be as low as £1,500 + VAT.  All of our fees are agreed up-front.

Outcome of the ADR procedure

According to HMRC’s Annual Report for the year to 31 March 2024 of the cases closed using ADR some 83.7% were resolved.  For the year ended 31 March 2023 86.7% of the cases closed were resolved at ADR.

HMRC Annual Report

The HMRC Annual Report for the year to 31 March 2024, which runs to 324 pages can be found at https://www.gov.uk/government/publications/hmrc-annual-report-and-accounts-2023-to-2024

Conclusion

In conclusion, we are a trusted partner for businesses seeking reliable VAT ADR services. Our VAT ADR assessment specialists and experts have the necessary knowledge and expertise to handle complex VAT disputes, ensuring that businesses receive fair and just outcomes. 

Overall, our ADR VAT assessment experts provide businesses support, to help them navigate the complex world of VAT disputes, allowing them to focus on running their business with confidence.

Contact us

Call 0161 883 2120 to discuss the potential of ADR on a without prejudice basis.