HMRC collected over £26.6bn from compliance activity in 2014/15 and has been given £800m to pursue non-compliance and tax evasion, with a view to delivering an extra £5bn a year. It is anticipated that this investment will trigger a significant rise in the level of enquiries over the next two years.
Don't be lured into thinking that it's only the likes of Google, Amazon and Starbucks that HMRC have in their sights,the majority of the additional tax yield comes from small business and individual taxpayers, of the £26.6bn collected in 2014/15 only £7.3bn was generated from the UK’s 2,000 largest businesses, and around 1.6% (£414m) was from the UK’s 6,000 wealthiest individuals. That leaves a staggering £18.9bn being collected from the rest of us.
If that isn't scary enough 46% of HMRC staff are dedicated to compliance and enforcement, and with their new specialist data system, Connect, they hold more information than the British Library. Connect trawls through over one billion records relating to property transactions, tax return information, loans, bank account details and employment data to identify potential targets for investigation.
Hopefully this isn't rubbing salt in the wound but HM Revenue & Customs (HMRC) enquiries cost thousands of pounds in professional representation to achieve a satisfactory result, even in situations where the taxpayer has done nothing wrong.
But there is hope, our Tax Investigation Service will provide you with an expert technical defence from one of our tax specialists and enables us to:
As an added bonus, all business clients who subscribe to the service also have 24-hour access to a Business Legal Helpline manned by over 70 specialist lawyers who can provide advice on Employment Law, Health & Safety and Commercial issues.
Click on the link to download our brochure, service summary and application form or alternatively send an email to firstname.lastname@example.org. If you are looking to insure multiple businesses then give us a call on 01563 522308 to take advantage of our multi-policy discount.