The award of costs (in Scotland, expenses) in claims for
judicial review is at the discretion of the Court and is normally
dealt with on the basis that the judge considers to be just and
reasonable in the circumstances. An applicant for judicial review
may not be entitled to his costs if the proceedings are started
against the Board without warning, where there has been no previous
undue delay by HMRC and the matter is then settled promptly without
the claim being heard.
Where the taxpayer has a good case which the Board is likely
to concede it is important that a decision is made quickly in order
to avoid the payment of costs.
A further reason for urgency is that an applicant has to make
his claim promptly after the act which will be the subject of
complaint. If you are advised by a taxpayer that he is considering
making a claim for judicial review and the matter about which he is
aggrieved can be remedied, then you should act quickly to do so to
remove the need for the claim.
