Taxation (UK) · The procedures relating to compliance checks, appeals and disputes

Appeals Against HMRC Decisions: Procedure and Tribunals

Updated 11 October 2026 · Fact-checked

To challenge an HMRC decision, you send a written appeal to HMRC within 30 days of the decision. You can then accept or request an internal review, or go to the First-tier Tribunal. Further appeals, on a point of law only, go to the Upper Tribunal.

Understand Appeals Against HMRC Decisions

An appeal is a formal challenge to an HMRC decision. Examples are an assessment, an amendment after an enquiry, a discovery assessment or a penalty. If you disagree, you do not have to just pay. The law gives you a route to challenge the decision.

The first step is always the same. You must appeal in writing to HMRC within 30 days of the date of the decision. The letter should say which decision you dispute and why. Miss the 30 days and you need HMRC's agreement to a late appeal, or the tribunal's permission.

Once you have appealed, you have three broad choices. You can ask for an internal review, where an HMRC officer who was not involved in the original decision looks at it again. You can accept a review if HMRC offers one. Or you can notify your appeal to the First-tier Tribunal, which is independent of HMRC. If you take the review route and still disagree with the outcome, you can then go to the tribunal, normally within 30 days of the review conclusion. Both sides can also agree to try alternative dispute resolution (ADR).

The First-tier Tribunal (Tax Chamber) hears the case and decides the facts and the law. HMRC allocates each case to a category. A default paper case is decided on documents with no hearing. A basic case has a short hearing with little evidence. A standard case needs more evidence and a fuller hearing. A complex case involves major points of law, large sums or heavy evidence. In a complex case, costs can be awarded against the losing side unless the taxpayer opts out.

A party who loses at the First-tier Tribunal can appeal to the Upper Tribunal, but only on a point of law, and usually needs permission. The Upper Tribunal is the next level up and does not re-hear the facts. From there, appeals can go to the Court of Appeal and then the Supreme Court.

Key rules to remember

Time limit to appeal to HMRC: Written appeal within 30 days of the date of the HMRC decision; A late appeal needs HMRC's agreement or the tribunal's permission.
Options after appealing: Internal review OR First-tier Tribunal (or ADR if both sides agree); The reviewing officer is someone not involved in the original decision.
Time limit after a review: Notify the tribunal within 30 days of the review conclusion; Applies if you disagree with the review outcome.
Tribunal categories: Default paper → Basic → Standard → Complex; Costs can be awarded only in complex cases, unless the taxpayer opts out.
Upper Tribunal: Appeal from First-tier Tribunal on a point of law only; Permission is normally needed. Findings of fact are not re-heard.

How to solve Appeals Against HMRC Decisions questions

Use this method for any written or objective question on challenging an HMRC decision.

1Identify the HMRC decision being disputed and its date (assessment, amendment, penalty and so on).
2Work out the 30-day deadline for the written appeal. Count from the date of the decision.
3State that the appeal goes to HMRC in writing, saying which decision and why you disagree.
4List the options: internal review by an independent HMRC officer, or notify the First-tier Tribunal. Mention ADR if it fits.
5If the scenario involves a review, give the new 30-day limit to go to the tribunal from the review conclusion.
6Name the tribunal category that fits the facts: default paper, basic, standard or complex.
7If the taxpayer loses at the First-tier Tribunal, state that the next appeal is to the Upper Tribunal, on a point of law only.
8Check your answer is tied to the scenario. Give a date or a conclusion, not just a list of rules.

Quickest way: Date, route, level

When to use it: Use this for objective test questions and for short parts of constructed-response questions.

Date: add 30 days to the decision date for the appeal deadline.
Route: appeal to HMRC first, then review or tribunal.
Level: First-tier Tribunal for facts and law; Upper Tribunal for law only.
Category: match the case size to default paper, basic, standard or complex.

Common mistakes in Appeals Against HMRC Decisions

Saying the appeal is made directly to the tribunal with no appeal to HMRC first.
Students jump to the tribunal because it is the most memorable part.
Fix: Remember the order: written appeal to HMRC within 30 days, then review or tribunal.
Saying the internal review is carried out by the same officer who made the decision.
Students assume a review means checking one's own work.
Fix: State that the review is by an HMRC officer not involved in the original decision.
Saying the Upper Tribunal re-hears the evidence.
Students treat each level as a fresh trial.
Fix: The Upper Tribunal deals with points of law only, not new findings of fact.
Mixing up the tribunal categories or naming the wrong one for a simple case.
The four names sound alike.
Fix: Think of size: paper only, short hearing, fuller hearing, then complex. Simple penalty appeals are the typical default paper cases.
Forgetting the second 30-day limit after a review.
Students remember one 30-day rule and stop.
Fix: Write both: 30 days to appeal to HMRC, and 30 days from the review conclusion to go to the tribunal.
Counting the deadline wrongly.
Students miscount days in the month or use the wrong start date.
Fix: Start counting the day after the decision, and write out the days left in the month before adding the rest.

Worked examples

Example 1

HMRC issues a discovery assessment to Amir dated 12 March 2026. Amir disagrees. By what date must he appeal in writing to HMRC, and what can he do next?

Show the solution

The time limit is 30 days from the date of the decision.
From 12 March, there are 19 days left in March (to 31 March).
30 − 19 = 11, so the deadline falls on 11 April 2026.
After appealing, Amir can ask for or accept an internal review by an HMRC officer not involved in the assessment.
Alternatively, he can notify his appeal to the First-tier Tribunal.

Answer: Amir must appeal in writing to HMRC by 11 April 2026. He can then have an internal review or go to the First-tier Tribunal.

Example 2

Delta Ltd appeals against an HMRC decision. An internal review upholds the decision. Delta still disagrees. The First-tier Tribunal then decides against Delta on the facts and the law. Explain Delta's options at each stage and the limits on any further appeal.

Show the solution

After the review upholds the decision, Delta can notify its appeal to the First-tier Tribunal.
This must normally be done within 30 days of the review conclusion.
HMRC will allocate the case to a category, such as basic or standard. A complex case could carry a costs risk unless Delta opts out.
If Delta loses at the First-tier Tribunal, it can appeal to the Upper Tribunal, usually with permission.
That appeal must be on a point of law only. The Upper Tribunal will not re-decide the facts.
Delta's appeal could go further to the Court of Appeal, and then the Supreme Court.

Answer: Delta can go to the First-tier Tribunal within 30 days of the review conclusion. If it loses, it can appeal to the Upper Tribunal on a point of law only, normally with permission.

Exam tips

Write the 30-day deadline as a date when the scenario gives you a decision date. Show your day count.
In objective questions, look for the words 'point of law'. They point to the Upper Tribunal.
Remember both 30-day limits: one to appeal to HMRC, one to go to the tribunal after a review.
Learn the four tribunal categories as a sequence and link each to a type of case.
Tie your answer to the scenario. Name the taxpayer, the decision and the next step, not just the general rules.

Practice questions from The procedures relating to compliance checks, appeals and disputes

Appeals Against HMRC Decisions: frequently asked questions

How long do I have to appeal against an HMRC decision?

You must normally appeal in writing to HMRC within 30 days of the date of the decision. A late appeal needs HMRC's agreement or the tribunal's permission.

What is an HMRC internal review?

It is a fresh look at the decision by an HMRC officer who was not involved in making it. You can request it, or accept it if HMRC offers one. If you still disagree, you can go to the First-tier Tribunal.

What is the difference between the First-tier Tribunal and the Upper Tribunal?

The First-tier Tribunal hears the original appeal and decides the facts and the law. The Upper Tribunal hears appeals from it, usually with permission, and only on a point of law.

What are the First-tier Tribunal categories?

They are default paper, basic, standard and complex. They range from simple cases decided on documents to cases with major legal issues or large amounts. Costs can be awarded only in complex cases, unless the taxpayer opts out.