TAX INVESTIGATIONS & ENQUIRIES:

Whilst it is possible to insure against the cost of obtaining professional help in defending oneself in the event of an enquiry, it is far better to spend money obtaining professional assistance in maintaining good records, providing and submitting correct accounts and tax returns to H M Revenue & Customs.

An enquiry can arise at any time without warning and last for many months ,if not years. At the very least it can be irritating and at worst very distressing and expensive in both time occupied in obtaining and providing information to the Inspector of Taxes.

One should never underestimate the ability of an Inspector of Taxes to discover the truth and should never consider mounting any defence without the assistance of an experienced and skilled Tax Advisor. Most Accountants possess a reasonable knowledge of tax, but may lack full resources and experts, to protect you in regard to such problems. Ensure that you appoint the right guidance such as is available with Pilbro Accountancy and Tax.

POWERS OF ENTRY

From 1st April 2009 H M Revenue &b Customs will have one set of entry powers covering PAYE, VAT, Income Tax, Capital Gains Tax, Corporation Tax, and The Construction Industry Scheme. These include the power to visit businesses to inspect premises, assets and records and ask taxpayers and third parties for more information and documents.

The visits will generally be pre-arranged but, where deemed necessary, they could be unannounced. Such unannounced visits will require the approval of a duly appointed HMRC senior officer or tribunal. The powers extend to visits to one’s home where this is being used for business purposes.

This extension of powers will provide Inspectors of Taxes with the equivalent powers of entry that have been enjoyed by Customs Officers investigating VAT irregularities.