The most important thing to remember when facing any tax investigation by HMRC is to get professional representation.
Bear in mind that HMRC, created in 2005 by the merger of Inland Revenue and HM Customs and Excise, has many years of know-how at being “the Tax Man”.
We have outlined below the course an investigation will take:
When HMRC open any investigation into your tax affairs, they will send you a letter and will ask you to supply them with a range of business records.
DO NOT submit anything before consulting with, or appointing a tax specialist.
We advise that you DO NOT even contact HMRC until you have had professional advice and ensure your interests are protected.
Use the old Yorkshire idiom; “When in doubt, say nowt.”
In the majority of tax investigation situations, HMRC will request either a formal or informal meeting with you.
There is no legal obligation to meet with an inspector , apart from in criminal and
There is no legal obligation to meet with an inspector (apart from in criminal and Code of Practice 9 (COP9) investigations) and we recommend that no-one meet with HMRC during this time.
HMRC will not tell you that there is no legal obligation to attend a meeting to discuss your tax affairs and will try to persuade you into meeting with them.
This meeting can do you more harm than good.
At KinsellaTax we will not allow HMRC’s inspectors to interview any of our clients. Under no circumstances would any client meet with an HMRC inspector without a Senior Partner of KinsellaTax being present to look after our clients’ interests.
We will negotiate on your behalf so that you no longer have any direct contact with HMRC.
This will enable you to carry on living your life without the added stress of waiting for the next dreaded letter from “the Tax Man” to come through your door.
Throughout this time, the inspector is likely to ask for additional records and information. We will receive and deal with these requests on your behalf. If HMRC can legally ask for them, then we will then request these from you.
We will negotiate with HMRC to calculate the outstanding tax due and fair HMRC tax penalties.
If you do owe additional or outstanding tax you will be liable for a HMRC penalty but it is our job to get you as low a penalty as we can, and a fair one at that.
Tax penalties can be as much as 100% of the tax due and payable, and in some cases, it can be 200%.
If you do not owe HMRC a penny, then we will make sure that we prove that!
It is always important to appoint a professional consultant to deal with your case and KinsellaTax are experts in this area and are used to negotiating with HMRC.
IT IS THEIR JOB!
If you do not have professional representation, you may end up with larger assessments and considerably higher HMRC penalties.
Once all liabilities and penalties have been negotiated and agreed by KinsellaTax, there is only one final hurdle left to jump.
This is simply to pay your tax bill.
Pay this and then enjoy life without having a stressful investigation hanging over your head.
We do not usually agree a settlement without tax, penalty and interest being agreed between you and HMRC.
In the extremely unusual case of not being able to agree with HMRC, there is always the appeal to the First Tier Tax Tribunal.
You can find detailed information on our range of hmrc investigation services here.
Our staff consists of experienced ex-HMRC Inspectors.
If you have received a letter from HMRC then why waste any more time?
Contact KinsellaTax, do not – we repeat DO NOT – contact HMRC direct. Anything you say to them will be recorded and may be used in evidence against you at a later date.
Call us now on 0800 471 4546 to speak to one of our tax investigation experts.