Tax dispute resolution

HMRC can look into your affairs in great detail. We are here to help if HMRC target you.

Every taxpayer could be at risk of being selected for enquiry by HM Revenue & Customs (HMRC). Some enquiries are opened based on specific risks, but others are selected entirely at random.

Therefore, even if you have done nothing wrong, you may be on the receiving end, regardless of how well prepared your books and records are.
To fully support you, Kreston Reeves has a dedicated team of Tax Disputes and Risk Management specialists who have significant experience in handling precisely all types of HMRC investigations.

We will provide an impartial, and clear way through, keeping you one step ahead. We can support you with any HMRC intervention including:

• Voluntary disclosures and nudge letter responses
• Tax investigations
• Code of Practice 8 / 9
• Avoidance scheme settlement
• Alternative Dispute Resolution
• Appeals and litigation
• Expert witness work
• Residence / domicile disputes
• HMRC criminal investigations
• Employer compliance / VAT inspections
• IR35 status reviews
• Furlough / Eat Out to Help Out reviews
• CCO / SAO / LBTS
• Time to pay arrangements
• Overpayment Relief / Statement of Practice 5 claims

Why are HMRC investigating?

£800 million has been allocated to target tax evasion, in a bid to fill the public finance black hole. Many tax investigations are random. Even if you have done nothing wrong, you are still at risk of an investigation which can take many months and cost thousands of pounds in professional fees.

HMRC conducted 394,000 tax enquiries last year, showing just how many UK taxpayers it suspects of underpaying tax. Every year, HMRC carry out enquiries into the tax affairs of an increasing number of businesses and individuals in the UK. HMRC enquiries are expensive, disruptive, intrusive, and ultimately stressful.

Engaging our tax disputes team provides you with the peace of mind that comes from knowing you are represented by professional tax dispute specialists giving you guidance every step of the way.

Beware ‘CONNECT’!

HMRC are using a piece of highly efficient software which is accessing and trawling through your financial information right now.

The ‘CONNECT’ system is scouring vast databanks to unearth discrepancies between taxpayers and businesses, income, assets and transactions. However, sometimes they may not be correct and select the wrong targets.

Since 2008, billions of pounds worth of extra tax has been clawed back and the reach of ‘CONNECT’ is ever growing.

From early 2023, HMRC have enforced major changes to how they use ‘Connect’. Click here to learn more.

What could an investigation involve?

Some investigations will involve a detailed examination of a specific item on a tax return, others may extend to a full review of all individual or business affairs. HMRC has the power to inspect business documents and assets at your premises, can ask for documents and information, make unannounced inspections, and go back up to 20 years to investigate matters.

What should I do if HMRC target me?

If HMRC states its intention to investigate your tax position don’t panic, call us, – your dedicated advisor and best line of defence. We will translate the many complicated questions HMRC may pose, manage the entire conversation with them, help you submit any required information and minimise the impact on your business or personal accounts.

Tax Investigation Service

HMRC are undertaking enquiries in unprecedented numbers and level of detail. The most recent statistics show over 1,000 new investigations per day. The cost of professionally defending yourself against an enquiry can be enormous, even when the result is no adjustment to the return.

We offer a Tax Investigation Service, which is thoroughly recommended to all our clients. This service covers our professional fees up to £100,000 providing representation and advice including all correspondence and HMRC interactions. Further information about our Tax Investigation service can be found here.

If you have any questions about tax disputes or investigations, contact out dedicated team who can provide further assistance.