Tax investigations get longer

The average length of an HM Revenue & Customs tax investigation has increased by two weeks, according to new research.

PFP, which provide tax investigation insurance, reported in August that the time taken had extended from 2.5 months in 2012-13 to three months in 2013-14, although many investigations took much longer.

Kevin Igoe, PFP’s managing director, said, “Any increase in the length of time taken for HMRC to complete a tax enquiry will be a major concern for those being investigated.

“Innocent individuals are often drawn into tax enquiries, which are both distressing and costly, so a 20 per cent jump in the average time taken means a rise in levels of stress and cost to the potentially innocent individual.”

No taxpayer wants to be involved in a lengthy and potentially expensive inquiry into their tax affairs, which is why anyone who believes they might become subject to a tax investigation, would be wise to seek expert advice. 

Our specialists at Taxation-Investigation has the knowledge and expertise to clarify the situation and advise on the options available, so that the taxpayer can make informed decisions about the best way forward.

We can also assist in mitigating outcomes or presenting a robust defence where tax affairs are in order.

For more information, please contact us.