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Tax Enquiry Fee Protection

WHY SHOULD I CONSIDER GETTING COVERED?

Every year, HMRC begins enquiries into thousands of personal and business tax returns and accounts. VAT and PAYE records are also thoroughly checked. The aim in every case is to collect more tax!

Some enquiries are generated by "risk profiling". Many others are selected completely at random. As a result, HMRC sometimes picks the wrong target. Even if you have done nothing wrong, the taxman will still try hard to find errors.

Since April 2009, HMRC have been able to visit business premises to inspect records covering all taxes including corporate, income, PAYE, NI, Capital Gains and VAT.

Whether you have been targeted for an enquiry or an investigation, the time involved can be enormous and costly. Answering all of HMRC’s questions takes time and the enquiry could drag on for many months. It can cost a considerable amount to defend you, whatever the end result. This is why we recommend that you take out the AGK Tax Enquiry Fee Protection Service.

AGK Tax Enquiry Fee Protection Service is a highly efficient way of protecting yourself from the costs of an HMRC enquiry or investigation.

WHAT AM I COVERED FOR?

  • The insurer will provide up to £75,000 (a lower limit will apply to some elements of cover) in respect of:
  • Fees incurred by AGK attending meetings with HMRC or responding to correspondence from HMRC when you are subject to an HMRC check, enquiry, visit, meeting or dispute. This includes professional fees incurred in respect of a local review of the enquiry and preparation and representation at an appeal to the First-tier Tribunal or Upper Tribunal.
  • Self-assessment aspect and/or full enquiries
  • Corporation Tax aspect and/or full enquiries
  • HMRC VAT disputes
  • Employer compliance disputes PAYE/ P11D/ NIC
  • IR35 disputes

We have considerable expertise in defending clients under enquiry by HMRC. If you are selected for a tax enquiry, we will aim to settle it quickly and minimise the final tax liabilities.

The cost of the policy is determined using the categories shown below.  If you are unsure of which category to select, then please contact us.  References to “Businesses” below includes Sole Traders, Partnerships and Limited Companies.

Category

Description

Fee (£)

1

Personal Tax Client                                                        

Tax Return Only with gross annual rental income of less than £50,000 per annum (not a Sole Trader/Partner/Company Director)

55 plus VAT

2

Businesses with T/O less than £1M

Includes Personal Tax Clients with annual rental income in excess of £50,000 per annum

160 plus VAT

3

Businesses with Turnover between £1M and £2M

200 plus VAT

4

Businesses with Turnover between £2M and £10M

250 plus VAT

5

Businesses with T/O above £10M but below £20M

400 plus VAT

If you have selected category 2 to 5, please note that all directors (if a limited company), members (if an LLP) or partners (if a partnership) of the Business are included within the businesses’ policy, in the event of an enquiry into their personal tax affairs (or those of their spouse or civil partner), provided that the director/member/partner are also clients of AGK and they do not have any other rental or trading income in excess of £50,000 per annum, otherwise that director/member/partner would also need to take out a separate Category 2 policy in their own right.

WHAT TO DO NEXT

If you would like to purchase a policy for your own peace of mind,  please e-mail feeprotection@agkpartners.com and we will then contact you to make all the arrangements.