Tax Inspectors have increased powers Tracy Hutty, Tax Partner The cba Partnership, Chartered Accountants in Beverley
Under the new coalition Government, Tax Inspectors are being given increased powers when undertaking investigations.
Unfortunately, the HM Revenue & Customs shows no mercy, selecting cases at random, regardless of age, size or previous performance. It is thought that this year alone 150,000 businesses in the UK will be confronted with invasive Income Tax and/or Corporation Tax investigations.
Investigations can be drawn out for long periods, causing a major inconvenience to the everyday running of a business but also a major expense – with many cases reporting that everything is legitimate.
In 2008/2009 the HM Revenue & Customs produced an additional yield of £597.7M from Self Assessment business and non-business enquiries and £792.5M from Corporation Tax Investigations.
In addition to any tax owing, fees are to be paid to the accountant who undertakes the work on behalf of HM Revenue & Customs. As such, the cba Partnership strongly advises clients to take out professional fees insurance.
This is a small premium which ensures that fees incurred during an investigation will be recovered.
The cba Group is a firm of Chartered Accountants, Tax Planning & Compliance Advisers, Chartered Financial Planners and we also provide IT and marketing services.
Contact Tracy Hutty www.cba-partnership.com, call 01482 881919 or email thutty@cba-partnership.com
Hutty, Tax Partner The cba Partnership, Chartered Accountants in Beverley
