Tax Investigation Support
For individuals and SMEs: representing clients in HMRC enquiries, Code of Practice 8 and 9 investigations, VAT and PAYE inspections, penalty mitigation and Worldwide Disclosure Facility submissions.
You do not have to face HMRC alone
Receiving a letter from HMRC about an investigation or enquiry can be extremely stressful and worrying. The most important thing you can do is act quickly and get professional representation. IB&Co provides tax investigation support for individuals and SMEs at every level of HMRC enquiry.
We act as your authorised agent and deal with HMRC on your behalf, so you do not have to face HMRC alone. HMRC investigations, even routine aspect enquiries, can escalate significantly if not handled correctly. The type of enquiry determines the urgency and the approach, so IB&Co will assess the letter and advise you on the best strategy.
How IB&Co helps
When you receive HMRC correspondence:
- We review all HMRC correspondence and assess the situation
- We act as your authorised agent and communicate with HMRC on your behalf
- We collate and present your records to HMRC professionally
- We check that any tax and interest is correctly calculated and present your case for the full penalty reductions available to you
- Where tax may be owed, we help you review your position and make a disclosure to HMRC through the appropriate route
- We manage Code of Practice 8 and 9 proceedings and Worldwide Disclosure Facility submissions from start to finish
- We advise on fee protection (Tax Investigation Insurance) cover
- We help landlords with undeclared rental income make a disclosure under HMRC's Let Property Campaign
Who it's for
Tax Investigation Support is for individuals and SMEs who have received HMRC correspondence or need to put something right. It may be relevant if:
- You have received a letter opening an enquiry into your tax return
- HMRC has told you about a VAT inspection or compliance check
- Your business is facing a PAYE or employer compliance review
- You have received a Code of Practice 8 or 9 letter
- You have undisclosed income, including rental or offshore income, that needs to be put right
If you receive an HMRC letter
Received an HMRC letter? What to do first:
- Read the letter carefully and note the HMRC reference number, the officer’s name and the response deadline.
- Do not respond to HMRC directly yet. Wait until you have professional advice.
- Do not ignore the letter. There are strict deadlines, and ignoring HMRC makes the situation significantly worse.
- Gather relevant records. The letter usually specifies what HMRC wants to see.
- Contact IB&Co today.
Types of HMRC Investigation
Aspect enquiry. HMRC queries a specific aspect of your tax return, usually one line item or area of income or expenditure.
Full enquiry. HMRC opens a full review of your entire tax return. This is more serious and requires careful management of all financial records.
Code of Practice 8 (COP8). Used by HMRC’s Fraud Investigation Service where fraud is not suspected. Often relates to tax avoidance schemes, offshore structures or complex arrangements.
Code of Practice 9 (COP9) and the Contractual Disclosure Facility (CDF). HMRC’s most serious civil investigation procedure, used where HMRC suspects tax fraud. If you accept the CDF and make a full and accurate disclosure, HMRC agrees not to carry out a criminal investigation, with a view to prosecution, into the deliberate conduct you disclose. The time limits are strict, and HMRC strongly advises getting independent professional advice.
Worldwide Disclosure Facility (WDF). For individuals and businesses with undisclosed offshore income, assets or bank accounts.
VAT inspection or compliance check. HMRC visits or corresponds about your VAT records, submissions and calculations.
PAYE or employer compliance review. HMRC reviews your payroll, employee expense records, benefits-in-kind (P11Ds) and National Insurance submissions.
Tax Investigation Insurance
Tax Investigation Insurance (also called fee protection insurance) covers professional fees for dealing with an HMRC enquiry, subject to the policy terms. Policies vary, but they typically do not cover tax, interest or penalties owed to HMRC, or investigations arising from deliberate fraud or tax evasion. IB&Co can advise you on taking out appropriate fee protection cover and can recommend suitable providers.
How it works
Your first call is a Tax Planning Discovery & Scoping Call. The purpose of the initial conversation is to understand your circumstances and determine where IB&Co can provide meaningful advisory support. From there, the process follows five clear steps.
Discovery
We start by understanding your circumstances and objectives.
Scope
We identify the areas requiring further consideration.
Review
Where appropriate, we undertake a detailed advisory review.
Recommendations
We provide professional guidance based on the agreed scope of work.
Ongoing Support
Where required, we provide ongoing planning and advisory support.
Meet your adviser
Ishmael Bangura, Managing Partner
Ishmael Bangura is the Managing Partner of IB&Co Accountants. He has been a practising accountant and tax adviser in the UK for about 15 years, and in that time has advised more than 950 clients, including startups.
Ishmael is also an entrepreneur who has built and exited businesses of his own, and that experience of running a business informs how he approaches tax planning with clients.
Other Tax Advisory Services
Tax questions rarely sit neatly in one area. Explore our other Tax Advisory services below.
Business Tax Advisory
For SMEs and growing businesses seeking a more proactive approach to tax planning. We help owners and directors consider the tax implications of business decisions before the year end, not after it.
Director Tax Planning
For company directors and shareholders reviewing remuneration and income extraction strategies. Salary, dividends, pension contributions and the timing of payments can affect both your personal and company tax position.
Corporation Tax Planning
For businesses seeking greater visibility and planning around Corporation Tax. We help you bring tax considerations into investment, expenditure and profit extraction decisions earlier in the year.
Personal Tax Planning
For individuals with multiple income streams or increasingly complex financial circumstances. A decision in one area of your finances can affect your tax position in another, so it helps to plan ahead.
Property & Capital Gains Tax
For property owners, landlords and investors. We help you understand rental income, joint ownership and Capital Gains Tax considerations before a sale, transfer or other major transaction.
Residency & International Tax
For internationally mobile individuals and those with overseas income or cross-border interests. We help you understand UK tax residency and overseas income questions before key decisions are made.
Inheritance Tax Planning
For individuals and families thinking about estate planning, gifting, trusts and reliefs. Inheritance tax planning is really about making sure your money goes to the people you care about.
R&D Tax Credits
For companies investing in innovation, in any sector. We help identify qualifying R&D activities, document the work and prepare claims, including the HMRC paperwork.
Stamp Duty Land Tax (SDLT)
For property buyers, including purchases through a company and mixed-use property. We advise on reliefs, the higher rates for additional dwellings and possible SDLT reclaims, ideally before you exchange contracts.
Frequently Asked Questions
Read it carefully and note the reference, the officer’s name and the response deadline. Do not ignore it, and do not respond until you have professional advice. Gather the records the letter asks for, then contact us.
In most cases, no. We act as your authorised agent and deal with HMRC on your behalf. In some investigations HMRC asks to meet the taxpayer in person. If that happens, we prepare you and attend with you.
Aspect enquiries, full enquiries, Code of Practice investigations, Worldwide Disclosure Facility submissions, VAT inspections and PAYE or employer compliance reviews.
Yes, we can help. HMRC’s Let Property Campaign lets individual landlords come forward about undeclared income from letting residential property, in the UK or abroad. We can review your position, help you notify HMRC, prepare your disclosure and deal with HMRC on your behalf. The amount you pay, including any interest and penalties, depends on your circumstances and is decided under HMRC’s rules, so we cannot promise a particular outcome. If HMRC has already contacted you, or the campaign does not fit your situation (for example, a company, a trust or a non-residential property), there are other disclosure routes and we can advise on the right one.
Also called fee protection insurance, it covers professional fees for dealing with an HMRC enquiry, subject to the policy terms. Policies vary, but they typically do not cover tax, interest or penalties owed to HMRC, or investigations arising from deliberate fraud or tax evasion. We can advise you on appropriate cover.
Not always, but it can help. Filing a return reports what has already happened. Tax advisory looks at important decisions before you make them, so you can understand the possible tax implications while there may still be room to plan.
Our Tax Advisory service is designed to complement your existing accounting and compliance work.
We quote after the discovery and scoping call, once we understand what you need.
Request a callback
Prefer us to call you? Leave your details and a convenient time, and a member of the IB&Co team will call you back. If you have received a letter from HMRC, please include the response deadline in your message.
Received a letter from HMRC?
Do not ignore it, and do not respond without professional advice. Time limits for response are often very short. Please contact IB&Co today: email hello@ibandco.co.uk (mark the subject “URGENT: HMRC”) or book a call.
Bring your latest accounts or tax return and a note of what you want to achieve.