ADRG01000 | Introduction

Definition - Alternative Dispute Resolution (ADR) in HMRC is a flexible process in which an impartial and neutral HMRC mediator actively assists parties in working towards resolving a tax dispute outside of the Tribunal or Court. The parties in dispute have ultimate control of the decision to settle.

When a dispute arises between HMRC and a customer, we can offer ADR in which the parties in dispute can call on the services of an impartial and neutral HMRC mediator, who will help them explore ways of resolving the dispute without the need for formal proceedings if possible.

ADR can be used before and after HMRC has issued a decision that can be appealed against, and at any stage of an enquiry, including:

• During a compliance check, when both parties are unable to reach an agreement, or where progress in the enquiry has stalled;

• At the end of a compliance check, when a decision has been made that the customer can appeal against, once the appeal has been made.

For the purpose of this guidance, the term 'parties' refers to a HMRC caseworker or case team and a customer. The HMRC mediator is an impartial faciliator and not a party to the dispute.