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Work in progress: Larger tax settlements: a follow-up report

Study outline

In July, we reviewed HMRC's governance procedures for resolving large tax disputes (HM Revenue & Customs 2010-11 report and accounts, 8 July 2011).

At the 17 October 2011 Public Accounts Committee hearing on our report, the Comptroller and Auditor General (C&AG) committed to doing additional work to examine the reasonableness of some of the larger settlements, with the benefit of tax advice.

Sir Andrew Park has agreed to provide this tax expertise to assist the C&AG with our review. Sir Andrew is a retired High Court judge who, as a barrister and later as a judge, participated in many tax cases at all levels up to the House of Lords.

The review will examine the reasonableness of five of the largest tax settlements. For each, it will look at whether:

  • the settlement value was reasonable given the circumstances of the case;
  • it was consistent with HMRC's Litigation and Settlement Strategy;
  • appropriate legal advice was sought and acted upon; and
  • HMRC followed its own procedures.

Reporting schedule

The C&AG aims to report the results of this work to the Public Accounts Committee in summer 2012.

Members of the NAO team

Director: Paul Keane

Audit Manager: Fiona Nicolle

Media contact: Barry Lester, Press Office

T: 020 7798 5339
M: 07770 678477

Email above personnel using our contact us form selecting Tax & duties as the topic, marking it for their attention in the subject field.

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