I've Received a Letter From HMRC But Don't Understand What It Means, Can You Help?

If you’ve received a letter or a phone call from HMRC that you don’t fully understand, we can help.

There are many different types of correspondence that you may receive from HMRC. Here, we’ll cover some of the more common letters that HMRC sends to taxpayers.

Notification of VAT Inspection/Visit

A VAT inspection or visit notice is issued when HMRC wants to look further into how your business is managing its VAT obligations. In general terms, any business generating turnover in excess of the VAT threshold is required to register for VAT. If the input or output amounts declared on your VAT returns are erratic or outside of the limits that HMRC my expect from a business of your type, then it may issue a VAT inspection notice. More specific information regarding HMRC VAT Inspections can be found by clicking here.

Income Tax Investigation Notice

If HMRC suspects that there may be irregularities relating to your personal tax affairs then it will likely issue an Income Tax Investigation Notice. This is more serious that a simple ‘compliance check’ (discussed below), but is less serious that a criminal investigation, for example. For more detailed information on HMRC Tax Investigation, please click here.

HMRC Compliance Check

Every year, HMRC selects a number of taxpayers to ‘check’. This is known as a HMRC Compliance Check. Commonly, this relates to taxpayers whom complete a self assessment tax return. It could be argued that when taxpayers are tasked with submitting information on the own taxes, then deliberate or non-deliberate errors are more likely to arise – when compared to PAYE income. Click here for more information of HMRC compliance checks.

Next Steps – Get Tax Advice

If you don’t understand any correspondence you’ve received from HMRC then please give us a call or submit your contact details via the contact form. We’ll get in touch as soon as possible and talk you though the documents you’ve received.

Book Your Free COP9 Consultation

Leave your details below and one of our team will be in touch to arrange your free consultation.