The Inland Revenue is becoming more aggressive in how they deal with investigations. Targets have been set to collect more tax in over 75% of cases regardless of how innocent the taxpayer may be. The Inland Revenue does not have to give a reason for investigating and even selects some cases completely at random.
All trades, professions and limited companies are coming under close scrutiny all of which continue to be targeted under self-assessment. In their latest report, the Inland Revenue announced that in the next two years, their investigations would exceed 200,000 businesses and 80,000 individuals.
For those unlucky enough to be investigated, however innocent, a tax enquiry can be an extremely long, drawn-out and stressful experience and can have a huge financial impact.
Accountancy and legal fees can run into £,000s causing substantial losses for individuals and businesses. Consequently, individuals tend to be forced to accept an unfair settlement rather than pay for the professional advice they need to fight their case. We strongly suggest clients take out tax investigation insurance and recommend Professional Fee Protection to them.
As an introductory offer for new clients we provide a free years tax investigation insurance, provided that Professional Fee Protection accepts your cover.