Giving you peace of mind
HMRC are watching you: They hold more information than the British library.
Could this be you?
HMRC opened an enquiry into an individual investigating a recent Tax Return. Almost a year after the enquiry opened, HMRC accepted the figures declared on the original return. The professional defence fees amounted to almost £30,000. Without tax investigation protection, the client would have been forced to foot the bill to prove their innocence.
Reasons an enquiry may be triggered.
One of HMRC’S strategic objectives is to reduce the tax gap which stands at £34bn. A big chunk of the uncollected tax is attributed to SMEs and wealthy individuals failing to pay the correct amount, hence the additional investment.
The mortgage verification scheme enables mortgage lenders to check an applicants financial details with HMRC. If the income details declared on the mortgage application differ to the information held by HMRC, an enquiry is a strong possibility.
Card payment processors who handle credit and debit card transactions have to provide HMRC with reports of sales made. HMRC checks this information against the turnover declared by retail businesses, not just to verify the amount of card income , but to gauge how much cash is being declared by the business.
Over 80,000 reports are made to HMRC’s tax evasion hotline each year from jilted partners wives and husbands, as well as disgruntled former employees and jealous business competitors.
Over £1bn has been collected so far from campaigns focused on doctors, plumbers, electricians, landlords and online traders. HMRC have also subjected smaller businesses including painters and decorators, driving instructors, taxi drivers and pharmacists to benchmarking.
HMRC selects a proportion of enquiries at random every year and this year could be your unlucky click of the mouse.
Wasley Chapman is here to help you
Our tax investigation insurance includes a FREE business legal helpline. Taking out our insurance package gives you 24 hour, 365 days a year unlimited access to a business legal helpline.
Have you ever felt frustrated that you don’t have the internal resources to respond to a business need or issue?
Our tax investigation insurance package includes a team of qualified barristers, solicitors and legal experts on hand to offer advice covering all aspects of employment, health & safety and business legal matters including:
- Debtor issues
- Disciplinary matters
- Contractual disputes
- Small claims court procedures
- Dealing with complaint letters
- Dealing with statutory demands
- Litigation
- Property disputes
Our tax investigation package offers businesses and individuals protection to ensure that in the event of a HMRC enquiry all your professional fees are provided for. The cost of protecting against such financial losses is a fraction of the likely costs incurred during an enquiry.
The average HMRC enquiry lasts 19 months. The cost of professional fees to defend a HMRC enquiry often exceeds £5,000!
Our fee protection package offers:
- Full representation to HMRC on your behalf including handling all correspondence and interaction, including attending any 1-1 meetings.
- Comfort and peace of mind that we will fiercely defend any enquiry into you or your business.
For more information on our Tax Investigation Insurance package. Call the office on 01642 850 666 or email philip.cuthbert@wasley-chapman.co.uk
