Our client received a 'check of company tax return' notice for accounts prepared by our predecessors. They wanted an analysis of other debtors, which was quite high - presumably to see whether it contained an overdrawn DLA. It wasn't, it related to an investment in another business made in 2003. We provided a letter in respect of the investment.
However, HMRC wish to see evidence of the original investment, presumably a bank statement. Our client doesn't have bank statements from that period as it is over 6 years, nor does the party who received the investment.
My questions is: can they demand this?