What to do if HMRC wants to visit your business

Even for the most organised businesses, getting that fabled knock on the door from the tax inspector can induce palpitations. Venntax's Chris Chadburn offers advice on how to cope.

With the tax department reviving its programme of business record checks in November 2012, there’s an increasing chance of a visit from the tax inspector for businesses in the high risk category. The cross-tax checks are part of a widening of HMRC's powers -- now four years old -- to gather information from taxpayers and inspect business premises.

Tax specialist Venntax has produced a whitepaper for explaining...

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Comments

Was this written by an Ex- tax Inspector?

Trevor Scott | | Permalink

Since when was it true that ….“You can’t appeal against a requirement covering information that forms part of the businesses’ statutory records.”

Upon what legal basis is that claim made?

“There is a similar power for getting information from third parties, but only if the taxpayer agrees or where a tax tribunal has given its approval.”

Such a claim makes it look like any third party can be required to comply? Under what legal basis can this happen?

 

My advice would be to avoid answering any question, politely referring all enquiries to your accountant; allowing he/she to do their job.

 

Since I haven't had an answer from the author...

Trevor Scott | | Permalink

....I'll assume that it is recognised that taxpayers can appeal against a request for statutory business records, also that HMRC are very limited as to who they can order to supply information. The sweeping, fundamentally incorrect, generalisations of most tax inspectors is apparent in the article. Most unhelpful.

Even if it were a more serious case, a court, under CPR would have limited legal authority to order a variety of people to supply information.