Richard Curtis outlines the basic considerations when dealing with an HMRC enquiry.
A letter from HM Revenue and Customs (HMRC) to check your tax affairs can be worrying. The word ‘enquiry’ suggests that something has gone wrong, but this is a way for HMRC to ensure that all income and gains have been declared, the correct reliefs claimed and the proper amount of tax paid.
However, enquiries into such matters by HMRC should not be ignored or treated casually. HMRC has formal powers to ask questions, request records and, in some cases, charge penalties if information is not provided. The best approach is to be calm, organised and prompt.
