Taxpayers considering appealing against HMRC might want to consider going online, as more of these appeals go through the first time without rejections when submitted in this manner.

The Ministry of Justice (MoJ) said last week that its new online service for contesting tax bills is already “drastically cutting the number of applications being returned.”

The decrease in the number of rejections has occurred because any errors in the forms or incomplete entries can undergo amendments over the phone with help from the Tribunal Service and HM Courts.

Around 2,000 taxpayers have used the system to date. With this digitally based service, taxpayers do not need to manually fill in, print out or pay to send tax forms in the post.

The online service is useful for appealing certain decisions and tax penalties incurred. Taxpayers can file appeals against penalties for indirect tax such as VAT. One of the advantages of the online appeal process is that an individual can create and save an appeal and then add further information later.

Appeals go through processing online before their submission to the tax tribunal for a judge to view. A hearing is not always necessary.

The MoJ said: “The simplified forms spell out exactly what steps applicants must have already taken, preventing people from wasting time submitting applications which are then returned. The online tax system continues to develop and in the early stages of 2018 will be extended to cater for an increased range of business.”