Both the taxpayer and HMRC have the right to appeal to the Courts if they are dissatisfied with the Commissioners’ decision as being wrong in law
In accordance with the principle that a decision from a tribunal
or court is taken to be correct, and to be respected, unless and
until it is overturned on appeal, we still have to complete the
enquiry within the time limit given in cases where we decide to
appeal against the Commissioners’ decision. There is no scope
for delaying completion simply because a further appeal is to be
made.
In accordance with the same principle if the taxpayer elects
to appeal to the High Court on a point of law against a
Commissioners’ decision not to give a direction you are
entitled to continue with your enquiries pending the
taxpayer’s appeal to the Courts. You should therefore proceed
with the enquiry in the normal way.
If the taxpayer objects to the continuation of the enquiry on
the basis of their pending appeal to the Courts explain
HMRC’s view as set out in the preceding paragraph. If the
taxpayer continues to refuse to provide information then use the
appropriate information powers to obtain it.
If the Courts overturn the Commissioners’ decision to
give a direction then the closure notice falls as well and you will
be able to continue with your enquiries. This should be done as
quickly and effectively as possible.
If, on the other hand, the Courts overturn the
Commissioners’ decision not to give a direction you must then
complete the enquiry within the time limit given.
