Some people think that the worth of a tax insurance policy is like the toss of the coin. If you do happen to get investigated or checked by HMRC, the policy is likely to save you thousands. If you do not receive a dreaded letter from HMRC then it may seem like a waste of money.
We expect checks to increase in the next few years as the the government will seek to audit and possibly claim back monies from COVID-19 related support schemes. We are likely to see more compliance checks to ensure schemes such as Job Retention and Self Employment Income Support were administered correctly and within the guidelines.
For those that are unaware or have previously not required it, Tax Investigation Insurance covers your accountancy fees in the event of an HMRC tax enquiry. Often tax enquiries are lengthy and, aside from the undue stress and inconvenience, will generally cause you to incur additional accountancy fees in acquiring professional assistance in dealing with HMRC, even if you have done nothing wrong.
Whilst the insurance policy does not cover any tax found to be owing, it will cover accountancy fees entirely, so you can leave the investigation in professional hands without any consideration for the accountancy costs. With this, accountancy firms like ours can then devote all of our efforts to prepare the best defence of any taxation issues and negotiate the best possible outcome for you or your business.
In addition to covering Corporation Tax, VAT, Self Assessment and all of your other regular ongoing taxation affairs, the policies we provide will now also cover any enquiries relating to HMRC’s Covid-19 support schemes.
Policies begin at just £40 + VAT and increase depending on your taxation requirements. If you wish to find out more about this or would like a quote for your business then please don’t hesitate to contact us. Is there really a cost to complete peace of mind?