Revenue Department Enquiries: Questions and How to Respond

An invitation usually sits at the information-gathering stage, where explaining yourself early can still reset the officer's reading of the file. A formal summons sits inside an official examination with binding time limits. The letterhead and the provision cited tell you immediately which stage you are in and how much weight the reply needs to carry.

The deadline is always stated in the letter itself, counted from receipt rather than the issue date. If the papers genuinely are not ready, file a written request for more time with a reason before the date passes, instead of going quiet and reaching out afterwards — silence is the single fastest way to escalate a file.

Read the document list first, because it mirrors the reviewer's working assumption. A request for purchase invoices covering only certain months, for instance, usually points at a comparison against what was filed. Catching that signal early lets you prepare a targeted explanation instead of shipping everything you own.

Answering the phone and confirming receipt yourself is fine and does no harm, but substantive explanations should wait until the file has been reviewed. Early remarks made without the supporting data tend to become constraints later. We suggest saying that documents are being gathered and the reply will come in writing.

Provide exactly what was requested, ordered so each item maps to the question it answers. Attaching material outside the scope with no explanation usually triggers a fresh round of questions on topics nobody had raised. If something helpful was not on the list, include it with a line saying why it is there.

Substitute evidence that proves the same transaction — bank statements, contracts, delivery notes, or a copy from the counterparty — and attach a note explaining how the original was lost. A straight admission backed by alternative proof is received far better than recreating paperwork after the fact, which carries serious risk.

Build a reconciliation that walks line by line from one figure to the other, with the supporting document named beside each line. Most differences have a technical explanation that will be accepted; trouble starts when the explanation is verbal and there is no schedule for the officer to follow.

You may appoint a representative to attend, using the prescribed power of attorney with the identity documents attached. Where the owner knows commercial facts the representative does not, going together usually shortens things, because context questions get answered on the spot.

There is a statutory appeal route, and it must be filed within the window stated on the assessment notice. An appeal needs reasons — new evidence or a clear legal argument — not simply a request for relief because the figure is large. We assess the prospects before you decide to go further.

Lodging an appeal does not by itself suspend the obligation to pay, so a request to hold collection has to be considered alongside it. Plan both at the same time as drafting the appeal, because handling them separately at different moments is what usually costs you the timing.

They are computed on different bases and judged under different conditions. Part of the amount can be considered for reduction where there is reasonable cause and genuine cooperation; another part accrues directly with the length of the delay. Acting early therefore moves the final figure more than negotiating later does.

Instalments can be requested, supported by your financial position and a plan that is genuinely achievable. A flattering schedule that defaults at the first instalment leaves you worse off than before, so we build the plan from the business's real cash flow to make sure it survives the full term.

What draws attention is inconsistency between the figures you report in different systems — sales in the VAT returns against revenue in the accounts, or payroll against the social security records. Reconciling those three sets every year before filing removes a large share of the questions before they are asked.

In practice keep no less than five years counted from when the return was due, and longer for anything tied to long-lived assets or agreements still in force. Storing them as searchable files with a per-year index is what turns a response into a one-day job rather than a one-week hunt.

It does, because the figures given to a lender and those filed with the authorities should come from one set of books. When the two diverge and are later compared, the explanation gets very hard. The safer route is to improve the quality of the records so they reflect reality, then use that same set everywhere.

Yes, and it is better value than defending after the fact. We work through the places questions usually land — entries without backup, missing reconciliations, expenses classified in risky ways — and hand back a prioritised list of fixes. The fee depends on the size of the business and how many years you want reviewed.

When a deadline is close, the first thing we look at is the letter and its dates, to judge whether an extension needs to be requested at all. Document work follows after that. Please send a picture of the full letter and of the envelope showing the receipt date in your first message.

We can work with the existing records without you changing bookkeeper, asking only for the files and documents connected to the issue raised. Coordination stays courteous and to the point, because the objective is to close the matter for the client rather than to allocate blame.

It is quoted per case from the stage the matter has reached, the tax years involved, the document volume, and how many meetings are likely. We give a range before starting and separate the document work from the representation or appeal work so it is clear what you are paying for.

Nobody can guarantee how an authority will decide, and anyone offering such a promise deserves scrutiny. What we take responsibility for is completeness of the file, meeting every deadline, and setting out the available options with their consequences plainly.