Liaison with Valuation Office Agency and other offices: Procedure for References - reviewing and failure of negotiations
Reviewing procedure for references
The Valuation Office Agency (VOA) is required to issue an informal report within four weeks of receipt of the case or from receipt of additional information. However, where the VOA is unable to accept the suggested values, an indicative opinion of value will be provided. The VOA will then automatically proceed to formal negotiations unless specifically advised by SAV not to do so. The VOA will also indicate when the matter is likely to be resolved.
Where formal negotiations are undertaken, the SAV valuer should request a progress report every three months.
Failure of negotiations
Whenever the VOA finds that negotiations are becoming protracted and no later than after 6 months, they will report
- their opinion of value
- the parties’ latest offer
- brief details of the main points of difference and/or of the parties’ failure to respond.
Where, active negotiations are still proceeding at the end of the period, the VOA may notify SAV and seek further instructions. The above time limits start again if SAV asks the VOA to continue their negotiations.
Where there appears to be a misunderstanding between the parties and the VOA about the facts, or a disagreement on the principles of valuation, consideration should be given to invite them to attend a meeting with SAV and the taxpayer or their representative as a tripartite discussion might help to settle the matter.
Wherever areas of difficulty arise in dealing with the VOA at any point, the case should be referred through to the Valuation Office Liaison Officer (VOLO) in Information Support. The VOLO will liaise with the VOA in order to resolve these difficulties.
Defendable on appeal (DOA) action
Whenever the VOA finds that negotiations are becoming entrenched, they will invite SAV to state, within 14 days, whether there is enough tax at stake to justify the preparation of a Defendable on Appeal valuation. Any such case should first be discussed with the VOLO and the Appeals Team.
The request for a DOA report together with the file should be routed to Information Support, who will forward the request to the VO Liaison Officer (at the Chief Executive Office’s Technical Centre) for onward transmission to the VOA caseworker. The VOA’s DOA report will then be returned to SAV via the VOA Technical Advisers and the VOLO.
On receipt of the DOA report the parties may be told that the VOA has confirmed that it considers its opinion of value (or any amended figure) to be ‘defendable’, and a further attempt may be made to reach agreement with them. Failing this, the matter should be referred to the Appeals Team.
(See Chapter 117 of this manual at SVM117000).
|Additional Guidance: SVM150000|