Good morning,
Well – HMRC’s much publicised Business Records Checks (BRC’s) have finally reared their ugly heads!
The Government has made no secret of its intention to increase checks on businesses as part of its continuing war against tax evasion, but this particular policy hit the skids in February of this year and was suspended – until now!
On the face of it BRC’s are designed to allow HMRC to make sure that businesses are keeping adequate records but the potential implications are far more wide-reaching.
If you are selected for a BRC, HMRC will write to tell you and will then call you on a pre-determined date and time to ask you a series of questions about the business records you keep. If you either don’t speak to them or they consider your business records are inadequate they will probably select you for a full HMRC investigation.
Clearly then, if you are selected for a BRC you want to be able to demonstrate that your records are adequate and avoid an investigation at all costs.
My advice on this one is very, very simple – if you receive a letter from HMRC informing you that you have been selected for a Business Records Check, RING ME IMMEDIATELY. I will probably need to meet with you for an hour to brief you properly and I will then ask you to ring HMRC in my presence to that we can complete the check to everyone’s satisfaction.
Paul
