If you don’t already have Fee Protection Service (FPS) in place, now is the perfect time to consider it. FPS provides protection against the costs of professional fees arising from an HMRC tax investigation. With HMRC’s increasing focus on tax compliance, it’s more important than ever to ensure you’re covered.
The Fee Protection Service (FPS) helps cover the costs of defending yourself if HMRC decides to investigate your tax affairs. Even if you’ve done nothing wrong, HMRC can still choose to review your business, and these investigations can quickly become stressful, time-consuming, and expensive. With FPS from Hall Morrice, you’ll have the peace of mind knowing that expert support is just a call away, making sure you’re never left to handle these situations alone.
FPS covers the professional fees related to HMRC enquiries. The costs of defending your tax position, managing correspondence, and handling meetings can quickly add up, but FPS ensures these costs are fully covered.
In the event of an enquiry, our team will take care of everything. We manage all communication with HMRC, represent you at any meetings, and challenge any incorrect assumptions made by HMRC.
FPS applies to a wide range of enquiries, from VAT and PAYE reviews to complex tax investigations. Whatever the issue, FPS provides thorough support to protect your business.
Subscribing clients also gain access to 24/7 legal advice for a range of business matters, including employment law, health and safety, and commercial issues. Our team of experts are just a phone call away, offering unlimited advice.
HMRC is significantly increasing its focus on compliance. The use of detailed data analytics, artificial intelligence, and advanced statistics means that more businesses and individuals are being targeted for random and detailed tax investigations. Even if you’ve been diligent in keeping your records accurate, there’s always the risk of being selected for an enquiry. In the 2022/23 financial year, HMRC collected £814 billion in taxes, a figure that has steadily risen from previous years.
This service is suitable for all individuals and businesses, regardless of the size, or the complexity of your tax cases.
For example, a small plumbing business was subject to an HMRC employer compliance review, which started with a simple payroll questionnaire but escalated to requests for detailed financial records. Despite no tax being owed, the business still faced £1,500 in professional fees, all of which were covered by FPS.
Similarly, a software company was investigated for its Research & Development Tax Credit Relief claim, resulting in a lengthy enquiry that incurred over £6,000 in representation costs. These fees were also covered by FPS.
Individuals can also benefit from this protection. One example involved an enquiry into a personal Capital Gains Tax claim, which resulted in £13,000 in fees. Despite the case being closed without any changes to the return, the individual would have suffered these costs in full but fortunately, all fees were fully met by FPS.
This service assures that no matter your business or personal tax situation, you’re always protected from unexpected and potentially overwhelming costs.
If you’re interested in subscribing or have any questions about the service, please email our tax team at tax@hall-morrice.co.uk.
For more information, please check out our service offering.
