What happens if you’re under investigation by HMRC? The penalties can be severe, and you may have to pay back the money you owe, along with interest and fines on top of that! That’s why it’s so important to know your options when it comes to HMRC investigation cover, which we’ll go over in detail here.
Don’t panic if you receive an investigation letter
It can be easy to panic if you receive a letter from HMRC notifying you of an investigation, but it’s important to remember that this doesn’t mean you’re automatically guilty of any wrongdoing. An investigation simply means that HMRC is taking a closer look at your affairs to make sure everything is in order. So, don’t panic – just be prepared to cooperate fully and provide any requested information or documentation.
Hire a specialist investigation agency
If you’re facing an HMRC investigation, your first step should be to hire a specialist investigation agency. These agencies have the experience and expertise to help you navigate the often-complex world of HMRC investigations. Here are five things to look for when choosing an agency
1) How many years has the company been in business?
2) Do they offer emergency services?
3) How much do they charge?
4) Is there 24/7 customer service?
5) Does the company specialize in specific types of investigations such as HR issues or tax evasion?
Understand what the investigation covers
The HMRC investigation cover is a policy that can help protect you financially if you’re being investigated by HMRC. The cover can help pay for professional fees, like solicitors or accountants, and can also help with any potential fines or penalties that might be imposed. It’s important to understand what the cover does and doesn’t include, so you know how best to protect yourself. For example, it won’t pay for personal expenses, such as your mortgage or food bills. Make sure you have enough savings to cover these kinds of expenses in case of a fine from HMRC before signing up for an investigation cover.
Avoid giving false information during the investigation
It’s important that you be honest during an HMRC investigation. If you give false information, you could be charged with perjury, which is a serious offense. If you’re not sure about something, ask for clarification from the investigator. Honesty is the best policy when it comes to dealing with HMRC.
Watch out for red flags during the investigation
HMRC investigations can be stressful and time-consuming. Here are some red flags to watch out for during the investigation process
1) If they call you, answer in a polite but firm manner. Do not let them make you feel intimidated or obligated to speak with them on the phone; if they do, politely refuse by saying that your lawyer told you not to speak with them until they’ve sent a formal letter requesting an interview.
2) Refuse to allow any officials into your home without first having legal representation present, especially if they’re wearing suits.
3) Don’t respond to any correspondence from HMRC before you have spoken with a qualified tax attorney.
4) Finally, remember that as soon as you hire an attorney, all of your communication should go through him or her from then on.
HMRC investigations can be stressful and time-consuming. But with the right cover in place, you can focus on running your business and leave the investigation to us. HMRC investigation cover is designed to protect you, your business, and your employees from the financial burden of an HMRC investigation. So if you’re ever faced with an HMRC investigation, don’t hesitate to give the expert a call.