As a result of recent increases in investigation activity by HMRC, many business owners are considering the impact of any potential cost of a possible investigation.

The investigation process can be extremely stressful as you are required to ‘prove your innocence’ to the Inspector. It is not unheard of for an enquiry to last several years and it is common to see Inspectors trawling through not only business records but also personal expenditure such as grocery shopping, holidays and car expenses to identify potential discrepancies.

In recent Budgets, there have been successive announcements that the Government is investing hundreds of millions of pounds to support HMRC’s work on non-compliance and tax evasion. In 2016/17, a record £28.9 billion was raised from HMRC’s compliance activities, a consequence of an ever-increasing proportion of HMRC’s resources being deployed into enquiry and other compliance activities – nearly 27,000 staff are now dedicated to this area, out of a workforce of just over 60,000.

HMRC considers that half of the “tax gap” (the difference between the amount of money HMRC actually collects and the amount it believes is due) falls on Small and Medium sized businesses.

Regardless of your circumstances, defence work is extremely technical and will require significant time by a tax expert in order to resolve the matter with the Inspector.  HMRC does not consider your costs when conducting its investigations; even a basic tax enquiry can result in thousands of pounds in professional fees, taking a year or more to resolve, even if you are entirely innocent and no further tax is assessed.

Protect yourself today

By subscribing to our comprehensive Tax Investigations Service, the cost of full professional representation by our team of experts will be covered in the event that you are investigated.

We’ll ensure you do not have to simply concede to the Inspector’s demands and will ‘fight your corner’ without you worrying about the fees.

Business Legal Advice

As a further benefit of the service you will also have unlimited 24/7 access to an expert Business Legal Helpline which can answer queries relating to Employment Law, Health & Safety matters and commercial issues and is available 365 days per year.

Unfortunately, we can’t protect you from being selected for an enquiry, but we can ensure you have a full defence at no cost if you are. Simply forward a completed Subscription Form (enclosed) together with your payment and you will be protected.

Please click hear to read our service summary

To Download an application form, please click here

Sage Accountant Partner Logoiris kashflowFreeagent