Facing an HMRC Tax Investigation?
We Handle It So You Don't Have To
Expert tax investigation support for UK businesses and individuals. We manage
HMRC enquiries, protect your position, and work toward the fastest, most favourable resolution.
- Making Tax Digital Ready
- Fixed Monthly Fees
- CIMA Regulated
- Serving UK Clients Nationwide
Who This Service Is For
Our tax investigation service is for any UK individual or business that has received an HMRC enquiry notice, compliance check letter, Code of Practice 9 (fraud investigation), or any other formal HMRC communication indicating their tax affairs are under review. We also advise clients proactively on reducing investigation risk.
What's Included with Our Digital Tax Investigation Services?
- WHY TDA
Why Choose TDA
FAQ
Frequently Asked Questions
HMRC uses sophisticated data-matching tools (Connect) to identify discrepancies between your tax returns and bank data, property records, Companies House filings, and third-party reports from employers, banks, and platforms like Airbnb and eBay. Common triggers include: inconsistent income reporting across years, unusual expense ratios, offshore accounts, property disposals not reported, and random selection through HMRC’s risk assessment process.
Do not respond to HMRC until you have taken specialist advice. The scope of your response can either limit or significantly expand the enquiry. Contact us immediately and forward the HMRC letter. We will review the notice, assess the scope and risk, and advise on the appropriate response. Do not destroy or alter any records relating to the period under enquiry.
The duration varies significantly by type. A simple self-assessment enquiry may close in 3–6 months. A full HMRC investigation into multiple tax years and complex records can take 12–36 months or longer. Code of Practice 9 investigations (suspected fraud) are the most serious and longest. We work actively to progress and conclude enquiries as quickly as possible.
HMRC penalties are calculated as a percentage of the ‘potential lost revenue’ — the additional tax identified. Penalty rates range from 0% (for innocent errors with unprompted disclosure) to 100% or more (for deliberate concealment offshore). The most significant reductions come from: making an unprompted disclosure before HMRC raises the enquiry, cooperating fully throughout the process, and giving HMRC access to all relevant information. We advise on the disclosure strategy that minimises your penalty exposure.
Tax investigation insurance (also called fee protection insurance) covers the professional fees incurred in responding to an HMRC enquiry. Without it, investigation costs can reach tens of thousands of pounds even for enquiries that result in no additional tax being due. We recommend all clients consider this cover, and we can advise on appropriate policies. We also offer an annual fee protection subscription for existing clients.