§ Mr. GillTo ask the Chancellor of the Exchequer what appeal procedures are available to taxpayers who believe they are unfairly targeted by Inland Revenue inspectors or subjected to investigation without reasonable grounds for suspicion. [101365]
§ Dawn PrimaroloAny person whose tax return is the subject of an inquiry may appeal to the General Commissioners for a direction that the inquiry should cease. The Commissioners must make such a direction unless there are reasonable grounds for the inquiry to continue. This right is explained in a leaflet which is sent to all taxpayers whose returns are the subject of an inquiry.
The Inland Revenue may begin an inquiry into a person's tax return without needing to suspect that anything may be wrong. Once an inspector has made sufficient inquiries to satisfy himself that a return is correct, he should end the investigation, and internal guidance and training make this clear. The taxpayer's right of appeal is an additional safeguard.
The Inland Revenue is committed to treating everyone fairly. However, where a person believes that he is being unfairly targeted, there is a well-established 519W formal complaints procedure. Where the complaint cannot be resolved by the local office or the regional office, it is referred to the Adjudicator, Dame Barbara Mills. Alternatively, a complaint to the Parliamentary Commissioner for Administration ("the Parliamentary Ombudsman") may be made through a Member of Parliament.