HMRC Enquires often involve requests for whole rafts of information that certainly will be daunting and can be downright costly but will you know why they need it?
HMRC’s own manual called the ‘Compliance Handbook’ states: “At the start of your compliance check you must tell the person the risk or reason for your check.” Similarly, when asking for information as part of the enquiry, the same section of the manual states the inspector “must provide the person with an explanation of why you need these”.
So hopefully from day one you will know why they are asking
However as a case progresses this doesn’t mean further areas for enquiry will not come out of the woodwork.
A specialist will be able to protect you from providing things to HMRC, which they may not have, the right of access to, or can guide you making a voluntary full disclosure to ensure protection from any future prosecution or excessive penalties.
An adviser like Lindsay Henson will quickly establish the reason for the investigation, will take complete control over the process and prevent what HMRC are often accused of ‘A Fishing Expedition”.
Working under the single compliance process for most small and medium-sized enterprises enquiries, HMRC should now proceed on the basis of what they have found out about you or your business from their internal risk assessments and definitely not withhold this information from you. It works well, and enables advisers to act on this or in many cases show HMRC that this information obtained may be ambiguous or actually wrong at times.
Lindsay makes sure that HMRC follow their own guidance and work within the law and no more!Share