Inland Revenue tax investigations are most UK tax payer's nightmare. And it's not at all something you'd want to do alone. In reality, the best way to manage tax investigations is to prevent them if possible.
In either case, expert guidance really helps to minimize the strain level and, if you decide on the best advisor, might help steer clear of the worst outcomes.
We asked Bob Evans, a 40 year veteran in tax investigations and a professional in using the Liechtenstein Disclosure Facility - a UK approved legal offshore'loophole'- to offer us some notion of just how to begin deciding on the best advisor for the tax problems if you are either already facing an Inland Revenue tax review or believe you soon could be.
As one of the biggest dangers you face in this investigation would be the penalties for unreported assets, especially offshore bank accounts, Evans advises that the earlier you seek advice the better.
Evans says that lots of of his clients tell him they wish they'd known about him 10 years earlier because they've lived with the strain and worry unnecessarily - and as we all know, severe stress and anxiety has a serious impact on both our health and our relationships.
So, if you have undeclared assets such as for instance offshore bank accounts, safety deposit boxes, property and so on, how will you pick a tax investigation specialist who is able to assist you to avoid tax problems and still protect your offshore assets?
According to Evans, the most obvious choice are one of the big accounting firms such as for instance KPMG or Arthur Anderson. But, he says, not everybody needs this kind of heavy hitter with equally heavy hitting fees. In lots of instances, you can find independent advisors who will not only give you the type of friendly approach you want, but provide a high quality of service at a much more reasonable fee.
Finding this advisor may appear difficult if you haven't faced this example before. How are you aware how good they're - and how are you aware you are able to trust them to find the best possible solution for the specific situation?
Evans says there are a few criteria you can use to quickly begin a tax advisor's credentials.
Try to find someone who's an ex-Inland Revenue investigator themselves - preferably an individual who operated as a top level senior investigator in the Enquiry Branch. Thus giving them an important insider comprehension of how HMRC works pertaining to the tax investigation process. local East Grinstead Accountants They know what HMRC is trying to find, how they identify'red flags'and more to the point, they discover how to defuse the specific situation by giving HMRC with the data they desire but in such a way as to give you the maximum protection.
Furthermore, this person must have a great reputation with the HMRC officials. They should be known as'fair fighters '. If they have a great reputation, you will immediately reap the advantage of that. Yet again, it really helps to lessen the aggression and puts a more amicable'barrier'between you and the HMRC investigators.
Once you've established that the candidate tax investigation specialist has inside Inland Revenue experience, then, check their other credentials: do they have reputable'commercial'experience? Have they worked for one of the large accounting firms - preferably, one of the big four?
Just how many investigations have they handled?
What resources do they have to handle an investigation that may have a six month deadline?
What professional support such as for instance East Grinstead Accountants do they have?
It's a good idea to ask them for a summary of the cases they have settled - this summary, though it should be anonymous to protect his clients - should include the quantities of penalties that were negotiated and his fee for every single case.
This information should offer you enough to create at the very least a shortlist of the investigators who are qualified to aid you along with your tax problems. But there's yet another thing you need to search for prior to making your final decision, and that's compatibility.
You need to select someone you're feeling as possible work with. That is of key importance. Dealing with someone you're feeling is judging you is not a good idea. You need to feel that the advisor has your best interests in your mind is completely devoted to helping you and'holding your hand'through what would have been a extremely tough time.
Evans says that ensuring compatibility has resulted in his making many, many friends who started out as clients with tax problems. Those who still turn to him for just about any financial advice they need. He feels strongly that this can be a gift and a privilege. He believes that there are many good advisors, but the great ones all have the exact same motivation: the joy of helping others solve their tax problems.
If you believe you're prone to tax investigation, specifically for undeclared offshore assets, Evans has considerable experience of this type and is currently assisting clients to take advantage of a little known legal, UK approved tax'loophole'known as the Liechtenstein Disclosure Facility or LDF. He advises anyone interested to take advantage of the education made available from the free articles and videos on UK Tax Investigation site.
Description: About V P Associates: Tax Advisors, Chartered Tax Advisors & Chartered Certified Accountants East Grinstead, are the first and foremost specialists in taxation matters. Visit their site for a comprehensive list of services including dealing with tax affairs and business accounts preparation for self-employed individuals, be it sole traders or in partnerships, self-assessment tax return preparation, limited company accounts preparation and corporation tax matters, tax planning for individuals and limited companies, VAT, IHT and succession planning and more at: www.VPAssociates.com
Phone: 0800 160 1500
City: East Grinstead
State: West Sussex RH19 3BT
Country: United Kingdom
Website: www. vpassociates.com