CG64882 - Private residence relief: permitted area: no agreement: Tribunal hearing

To present a permitted area case before the Tribunal close liaison with the Valuation Office Agency (VOA) on the preparation of his or her evidence is vital. Depending on the requirements of the particular case the VOA may be able to give evidence on the following:

Factual evidence

• The size, character and environment of the dwelling-house
• The area and type of land held with the dwelling-house
• The planning history of the property
• The history of acquisition of different parts of the property and of any disposals
• The history of developments and any other changes in the neighbourhood of the property.

Expert Evidence

• An opinion as to the location and area of the garden or grounds which make up the permitted area
• Reasons for rejecting the areas claimed by the taxpayer to be within the permitted area
• Details of comparable properties which can be cited to support the Valuation Office Agency’s opinion
• An opinion as to the correct method of carrying out any necessary apportionments, see CG64899.

A copy of the VOA’s proof of evidence must be provided to the taxpayer. In return we are entitled to expect that the taxpayer will do the same if they have an expert witness. We are entitled to object to the introduction of any expert evidence which has not been disclosed in advance. An exchange about 3 weeks before the hearing should be sufficient to allow each side to consider the proof.

Once the taxpayer’s proof has been received a copy should immediately be sent to the VOA. A meeting with the VOA to discuss the proof can be very useful. At a meeting it can be decided how best to counter the taxpayer’s evidence in his proof, whether by cross examination, or by putting any points to the VOA for their expert criticism.