Tax compliance checks

Tax compliance checks

HMRC Tax Agents

Tax compliance checks

What happens during a check?

HMRC may ask to visit your home, business or an adviser’s office, or ask you to visit them. You can have an accountant or legal adviser with you during a visit.

You may have to pay a penalty if HMRC sends you an inspection or information notice and you do not send information or refuse a visit. You will not have to pay a penalty if you have a ‘reasonable excuse’, for example:

  • You’re seriously ill
  • Someone close to you has died
  • If you think HMRC should stop the check, write to the office that sent you the letter, giving your reasons why

You can apply for alternative dispute resolution (ADR) at any time if you do not agree with HMRC’s decision or what they’re checking.

What Happens After the check?

HMRC will write to tell you the results of the check.

You’ll be:

  • repaid if you’ve paid too much tax – you may also get interest on the amount you’re owed
  • asked to pay additional tax within 30 days if you owe more – you’ll normally have to pay interest from the date the tax was due
  • You may also have to pay a penalty

HMRC will look at:

  • the reasons why you underpaid or overclaimed the tax
  • whether you told HMRC as soon as you could
  • how helpful you’ve been during the check
  • If you have problems paying, tell the officer dealing with the check
tax compliance check