Right to Appeal

Right to Appeal

The Right to Appeal refers to the legal entitlement of a taxpayer or an entity to contest a decision made by a tax authority or regulatory body. This right allows individuals or businesses to seek a review of decisions that affect their tax liabilities, assessments, or compliance matters.

In the context of tax administration, if a taxpayer disagrees with the outcome of an audit, a penalty assessment, or a tax return processing decision, they can file an appeal. The process typically involves submitting a formal request to a higher authority within the tax agency or to an independent tribunal, where the case can be re-evaluated.

For example, if the IRS issues a notice of deficiency asserting that a taxpayer owes additional taxes, the taxpayer has the right to appeal that decision by filing a petition with the U.S. Tax Court, thereby seeking a reconsideration of the tax authority’s determination.