In a previous article, we looked at the crucial role expert evidence plays in Landfill Tax disputes before the Tax Tribunal.
As many landfill operators know, cases often turn on how waste is classified, and expert reports can be the difference between a manageable tax bill and a multi-million pound liability.
So, what happens if you receive a Landfill Tax assessment from HMRC that you do not agree with?
This follow-up guide explains your rights to challenge that decision, what to expect from the appeal process, and why it’s vital to act quickly and carefully.
Step one – Requesting an HMRC review
Your first step is to ask HMRC for an internal review. You must do this within 30 days of receiving the assessment or decision.
A different HMRC officer (someone not previously involved in the case) will review the matter and usually provide a response within 45 days.
This review can sometimes resolve matters without needing to go to the Tribunal. To increase your chances of success, you should keep clear and detailed records of waste classifications, tax calculations, and any scientific or expert analysis you’ve relied on.
Pay now, or seek hardship relief
Landfill Tax is an indirect tax, which means you are expected to pay it before your appeal can proceed.
If paying the full amount would cause serious financial hardship, you may apply for a hardship agreement.
This must be agreed by HMRC or, failing that, by the Tribunal.
Without payment or an accepted hardship application, the Tribunal cannot hear your case. This is a step that many operators overlook to their detriment.
Step two – Appealing to the First-tier Tribunal
If the HMRC review does not resolve the issue (or if you choose to skip that stage), you can appeal to the First-tier Tribunal (Tax Chamber). You must do this within 30 days of either the review decision or the original assessment.
The Tribunal is an independent forum and will consider arguments and evidence from both parties. While it is possible to represent yourself, legal advice is strongly recommended, especially where expert evidence, scientific analysis, or procedural issues are involved.
Step three – Higher appeals
If you disagree with the First-tier Tribunal’s decision, you can appeal further, but only on a point of law.
That process begins with the Upper Tribunal, then may progress to the Court of Appeal and ultimately the Supreme Court.
What about Wales?
In Wales, Landfill Tax is administered under the Landfill Disposals Tax regime by the Welsh Revenue Authority (WRA).
The review and appeal process is broadly similar, but governed by different legislation. The same rules on payment and hardship relief apply.
Legal advice makes a difference
Appealing a Landfill Tax decision is not a simple process. From securing the right expert to navigating the financial and procedural hurdles, each step presents potential risks.
At Dyne Solicitors, we represent clients through every stage of the Landfill Tax appeal process, from HMRC reviews and hardship applications to Tribunal hearings and beyond.
Early advice can save you time, cost, and unnecessary complications.
If you’re facing a Landfill Tax assessment you believe is incorrect, contact our team, John Dyne, Alex Sandland or Patrik Jones-Wright, on 01829 773100.