Steps to follow
- If you are a limited company, you will have to pay corporation tax on any profits at the end of the financial year. Partnerships have to pay income tax. Then there are VAT, business rates PAYE and national insurance.
- HM Revenue and Customs make random checks into company tax returns. This doesn’t mean they think your return is incorrect—it is simply routine. They will send you a written ‘notice of enquiry’ if they wish to do this.
- HMRC will normally ask you to submit the details they require within 30 days. If you can’t do this then contact HMRC straightaway to ask for an extension.
- If you have a complaint about the service you have received, lateness or any other complaint, you should contact HMRC as soon as possible and let them know your concerns.
- You have a right to appeal against any penalties, notices or assessments. If your issue is not settled with HMRC, you can request either a review or a hearing in front of an independent tribunal. You normally have 30 days in which to do this.
- If you miss the deadline for appeal, you will have to provide a reasonable excuse as to why you were late.
- HMRC is under an obligation to treat you no differently because you have complained.
- You should seek legal advice before the appeal.
- If, following your review and appeal, you are still unhappy then you can contact the Adjudicator’s Office. The Adjudicator offers a free service, and can investigate and help to resolve complaints about tax and other issues.
- If the Adjudicator does not resolve your issue, you can ask your MP to make a complaint on your behalf to the Parliamentary and Health Service Ombudsman.
- You will have to continue filing returns and paying tax while any appeals procedure or other complaint is ongoing.
- An accountant or other adviser can make your complaint on your behalf.
What to watch out for
Keep on top of your income, expenses and outgoings from the beginning, or it will be easy to make mistakes when the time comes to file your returns. Time spent on paperwork now saves more time later.
Solicitor’s top tip
You should keep your tax records for at least six years, and possibly longer than that. Keep copies of receipts and invoices. These can be scanned and kept on disc, to save space, if you prefer.
Useful links
Free advice
www.businesslink.gov.uk
www.businesslink.gov.uk
www.hmrc.gov.uk
www.hmrc.gov.uk
www.adjudicatorsoffice.gov.uk
www.ombudsman.org.uk
www.hmrc.gov.uk
www.bytestart.co.uk
Online services
www.taxadvicenetwork.co.uk
http://www.taxaid.org.uk/
