Tax Investigation

If you are responsible for submitting your tax assessments on behalf of yourself or your business, you could be selected at random by HMRC for a tax investigation.  Random selection is now more common, although they are still carried out by HMRC when a taxpayer is suspected of tax evasion. The goal of these investigations is to find evidence of tax evasion and avoidance and ultimately recover tax undercharged in previous years of assessment.

Investigations by HMRC are expected to recover £100 billion between 2010 and 2015, and are due to the rise. They take place with or without voluntary cooperation, although the process may be quicker and more advantageous for both parties with your cooperation. HMRC also state that penalties may be significantly reduced if you choose to fully cooperate and provide evidence and explanations of any irregularities found in your assessment.

HMRC recommend professional representation if you are selected, and to make your advisor fully aware of all the facts and figures. Your advisor should be fully compliant with the timetables agreed between you and HMRC. They expect high standards, and should they experience any difficulties dealing with your professional they may decide to deal directly with you. At the end of the day, only you are personally responsible for your tax affairs and the accuracy of the information provided to HMRC.

For individuals and businesses the cost implications of a tax investigation could be damaging, not to mention a thoroughly unpleasant experience. If you or your business find yourself facing a stressful tax investigation the representation costs involved in proving your innocence could quickly add up. A solid defence will need to be prepared to give you the best chance of winning the case, even if there is no wrong doing found in your assessment.

Ashwells Associates provide a fee protection policy which covers the costs for a full defence for either individuals or businesses should they be investigated. Our subscription membership involves a small annual fee and provides total peace of mind should you be selected for an inquiry into your accounts.

Our clients benefit from our extensive experience in dealing with enquiries and Tax Investigations from HMRC. We provide valuable advice and work closely with our clients to deliver results, whether they are self-employed individuals, partnerships or limited companies.