Your tax affairs may be checked to make sure you’re paying the right amount. This can happen if you’re an individual taxpayer or if you run a business.
What HMRC can check?
HM Revenue and Customs (HMRC) will write or phone to say what they want to check. This could be:
If you use an accountant, HMRC will contact them instead.
To authorize someone other than a tax agent, write to HMRC. Tell them who you want to use and for which tax.
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 don’t send information or refuse a visit. You won’t have to pay a penalty if you have a ‘reasonable excuse’, eg:
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 don’t agree with HMRC’s decision or what they’re checking.
After the check
HMRC will write to tell you the results of the check.
You may also have to pay a penalty. HMRC will look at:
If you have problems paying, tell the officer dealing with the check.
You can appeal if you disagree with the decision.