Startling revelations show 18% of all tax appeals made against business rate assessments from 2010 are now sat with the Tribunal Service awaiting a hearing.
One in six of the 1m appeals made against the 2010 tax regime are in limbo going nowhere a freedom of information request has revealed.
Despite a new tax regime having started at the weekend, thousands of businesses face a wait of at least another two years to have their property tax appeals from 2010 heard, which could trigger rebates over seven financial years, experts have warned.
Revelations by CVS Business Rent & Rates Specialists, obtained under the Freedom of Information Act, reveals 196,360 rates appeals from 2010 property tax assessments are now currently with the Valuation Tribunal Service for an independent public panel hearing some seven years after the start of the last tax regime, after negotiations failed with the government agency.
Whilst a total of 30,005 business rate appeals from 2010 are currently listed for a public tribunal hearing for determination over the coming months, 166,351 appeals with the Valuation Tribunal Service are in limbo two years after being lodged, waiting to be listed for a hearing.
A spokesman for the Valuation Tribunal Service said within the information provided to CVS that “the majority are proposals made to the VOA in March 2015 ahead of the change in regulations limiting backdating”.
The Valuation Tribunal is a free, independent appeals body used when challenging decisions of the Valuation Office Agency. Appeals are placed in a programme by the government agency for discussion, which allows a specific timeframe for discussion with a start and target date. Once that target date passes, the appeal is referred to the Independent Valuation Tribunal Service for case management and determination. This has fuelled concern that lack of resources to the Valuation Office Agency is impacting upon the work of VTS being swamped with unresolved appeals.
Mark Rigby, chief executive at CVS, said: “The Valuation Office Agency have entered a new tax regime with new regulations effectively with one hand tied behind their backs.
“Businesses with appeals still outstanding from 2010 property assessments could face at least another two years’ wait to have them resolved given the backlog within the Valuation Tribunal.
“Those businesses facing huge hikes in rates from the new 2017 property assessments, under the new Check Challenge Appeal system, could face a maximum wait of three years under the timetable to have their appeals resolved without additional financial resources for the Valuation Office Agency from government.”
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