The aim should be to establish the facts as quickly as possible.
You should use those facts to inform your valuation
conclusions. Valuations should rest on facts rather than on
suppositions. The best arguments in the world are likely to fail
before a tax tribunal unless the facts to back them up are
available. If we cannot quickly get the facts we need to present a
strong argument, we need to consider whether our fact finding is
well – aimed and likely to assist in any litigation that may
become necessary. This is the time to consider whether our chances
of success are good; and, if they are poor, to withdraw early.
Preparation for litigation should not be left until all
chances of a negotiated settlement have been exhausted. It should
start much earlier. Early consideration of the chances of success
in any possible litigation can bring important efficiency savings.
In practice, this means getting the right facts quickly (if
necessary using information powers). As it may not always be
obvious what the right facts are, obtaining some initial litigation
advice will help to direct the fact finding process.
Handling cases in a way that prepares for litigation assists
in reaching agreed settlements. Focusing on key, strong arguments
shows that we know our strengths and that we are developing a
credible case in the event of litigation. We sometimes undermine
good legal arguments by mixing them with poor ones – early
advice and preparedness to litigate substantially mitigates this
risk.
| Additional Guidance: SVM150000 |
