Here at JRBD Company Services Ltd we work closely with a group of companies with the aim of making small and medium-sized businesses better. Better does not necessarily mean making the company bigger it may mean making the company work more for you. It is about finding the balance between work and family that suits you.

One of our specialist areas are dealing with historic issues with HMRC, we have years of experience help sort out missing accounts and historic fines. We work with you and HMRC to find the best outcome for all involved.

HMRC will investigate further back the more serious they think a case could be. If they suspect deliberate tax evasion, they can investigate as far back as 20 years. More commonly, investigations into careless tax returns can go back 6 years and investigations into innocent errors can go back up to 4 years.

An investigation will often start with an enquiry into the last year’s tax return. During their investigation into your most recent documents, HMRC will attempt to determine if:

• There have been no mistakes, in which case they can close the investigation;
• The mistake was due to an innocent error, in which case they may go back 4 years;
• The mistake was due to your negligence, in which case they may go back 6 years;
• The mistake was a deliberate attempt to avoid paying tax, in which case they may go back 20 years.

At any stage in the investigation, HMRC may change its stance on the reason for any mistakes or omissions. For example, if it initially believes that a mistake was a one-off, innocent error but then finds grounds to suspect ongoing negligence, the investigation will be extended to look further back resulting in HMRC requesting more information.