Mediation - Alternative Dispute Resolution

Why use ADR to settle a dispute with HMRC?

Entering into HMRC ADR mediation will not affect a taxpayers' existing review or appeal rights, but provides the opportunity for taxpayers and HMRC to have a full and frank discussion and explore the potential for a settlement without resorting to litigation. ADR is also less formal than a Tribunal hearing and is far quicker and more cost-effective.

According to HMRC’s 2022/23 annual report, mediation has a high success rate, with more than 85% of mediations arriving at an agreement. At Buzzacott, our own in-house CEDR (The Centre for Effective Dispute Resolution) accredited mediator, Barbara Bento, ensures all parties are encouraged to reach an agreement where possible. 

In cases where mediation does not partially or fully resolve the disputes, the taxpayer and HMRC will still have gained greater clarity on the outstanding issues and assist in forming a view regarding the likelihood of success should the case proceed to Tribunal.

Is my case suitable for mediation/ADR?

The most suitable cases for mediation are those where:

• You and HMRC have different views on the facts
• Communication with HMRC has broken down
• HMRC has disputed evidence you have given, and point to other evidence instead
• HMRC continues to request more information from you, which is drawing out proceedings
• It is unclear what information HMRC has used, and they may have made the wrong assumptions

HMRC has recently updated its guidance on ADR to clarify ADR’s ‘without prejudice’ basis. ADR remains a flexible and confidential process where parties can explore many possible resolutions without committing to such formally; however, tax facts are not to be treated as confidential.

With 90% of ADR cases being resolved within 120 days, it remains as a flexible and inexpensive opportunity to negotiate with HMRC.

Click here to see Barbara Bento’s, Buzzacott’s CEDR accredited mediator, top 10 HMRC Alternative Dispute Resolution tips.

How we can help

We have extensive experience in resolving disputes with HMRC before they make it to Tribunal and potentially costly litigation. We offer a comprehensive mediation service that includes:  

• Reviewing your case to confirm its suitability for ADR
• If appropriate, preparing and lodging your application for ADR
• Liaising with the appointed HMRC facilitator and appointing our own in-house CEDR accredited mediator
• Preparing your case and representations for the ADR process
• Attending and making representations on your behalf at any ADR meeting

Our approach has contributed to a nearly 100% success rate in ending mediations with an agreement that satisfies our clients. Find out how we helped a client settle their dispute with HMRC through ADR mediation here.

Request a callback or meeting

If you'd like us to give you a call, fill in your details below and we'll email to arrange a good time to speak to our Head of Tax investigations and CEDR accredited mediator, Barbara Bento. All communications are in the strictest confidence.

If you'd prefer to speak to our team directly, please call +44 (0)20 7710 3389.