HM Revenue & Customs (HMRC) are developing more initiatives for tax compliance and over the past two years we have seen Inspectors become increasingly aggressive as they are being targeted to produce higher yields from the enquiry work they undertake. HMRC's powers have been significantly increased during this time and worryingly, Inspectors are now attempting to go back up to 20 years when calculating any additional tax due.
Consequently, the length of investigations is escalating and our professional fees defending you could run into thousands of pounds.
We are able to secure preferential rates and terms through Abbey Tax Protection Limited on a group basis. The cover is to a maximum of £75,000 per claim for professional fees (including accountancy and expert tribunal representation expenses) incurred in the preparation and presentation of a response to an in-depth enquiry or to an appeal to the relevant Tax authority. 'Aspect' Enquiries (where only limited questions are asked) are also covered, and this year cover has been extended to cover up to £1,000 of fees in attending the Inspector's initial visit.
In addition to the insurance, Abbey Tax also provides a legal telephone advice facility, which provides support to businesses that encounter problems with legislation, particularly in areas of employment, contract disputes, and health and safety. This is available at no extra charge to those clients who subscribe to the Fee Protection Insurance.
All cover for business clients includes disputes arising out of HMRC, PAYE and National Insurance audit inspections, P11D compliance visits and VAT control visits.
Personal tax clients (non-business) can also obtain HMRC in-depth investigation cover from as little as £30*.
The scheme runs from 1 January to 31 December annually.
* Rates applicable for 2009.
