Last April 1, (all fools day?) HMRC started a new process of internal review. If you got a decision from them that you didn’t like or agree with you could ask them to reconsider. Another officer would check it over and agree your appeal, change it, or reject it.
In the nine months to 31 December 20778 “customers” asked for a review. Of these 18,256 were completed,of which 81% were unrepresented taxpayers. 8,952 (48.3 %) were upheld and 51.7% were cancelled or varied.
What does this say about HMRC penalty system? It says it is worth appealing. It shows what a good job “agents” are doing for HMRC in reducing their work load. No information was given on how many penalty notices were issued.