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Welcome to Hylton-Potts Legal Consultants – Investigations and conflicts with the Inland Revenue and Customs & Excise (HMRC) create difficult and stressful times. We specialise in resolving any tax investigation or Inland Revenue investigation or disclosure in the most efficient, cost effective and timely manner possible.

We also specialise in helping people who have committed a tax fraud or tax evasion and who need help disclosing this to the Inland Revenue in such a way as to minimise their liabilities as far as possible.

Are non- judgemental.
Rigorously defend your position within the scope and parameters of the law.
Take control of the investigation.
Focus on working towards the most cost effective and efficient way to achieve the closure of the tax investigation.
Encourage you to concentrate on your business and leave dealing with the Inland Revenue to us.
Pride ourselves on caring vehemently about our clients and that they are treated justly and fairly within the scope of the law.

Hylton-Potts have 30 years’ experience of tax investigations defending businesses subject to Inland Revenue Investigations. Hylton-Potts offer a unique blend of relevant experience at affordable prices.

We believe in giving value for money and outstanding client service and we have saved tax, interest and penalties for all our clients.

Information about the different types of tax investigation cases we deal with on a regular basis. THESE ARE:

Tax Evasion

Tax evasion is defined at the deliberate failure to pay taxes. For more detail on tax evasion and what this relates to please visit our tax evasion page. To talk about how we can help you if you have committed tax evasion please call us for a confidential conversation.

Tax Fraud

Tax fraud is defined as wilfully attempting to evade the payment of taxes. Follow the link to be directed to a page with more specific detail on tax fraud. If you have committed a tax fraud then please feel free to call us for a free no obligation discussion about how we can help you resolve any issues relating to the tax fraud.

Inland Revenue Investigation

Most Inland Revenue Investigations occur as HMRC believe that you have committed a tax fraud or tax evasion (although some relate to tax avoidance). If you are subject to an Inland Revenue Investigation then please call us to find out how we can help. Please follow the link for more information on the different types of Inland Revenue Investigations.

Civil Investigation of Fraud

If you receive a letter from the Civil Investigation of Fraud Unit or from the Special Civil Investigations section of HMRC then it means that they believe that you have committed a significant tax fraud or tax investigation. The letter sent to you will usually have leaflet Code of Practice 9 (Civil Investigation into cases of suspected serious fraud). The issue of this leaflet relating to the civil investigation of fraud means that HMRC believe that you owe a minimum of £75,000 or tax (if not much more) which has occurred due to a tax fraud or tax evasion. Please follow the link for more information on the Civil Investigation of Fraud process please click here. If you are subject to an Inland Revenue Investigation under the civil investigation of fraud procedures then this is a very serious matter. Please call us for a free, confidential discussion as to how we can help you get through the civil investigation of fraud process.

Hidden Economy Team

The hidden economy team is a specialist unit within HMRC to investigate the suspicion of tax evasion or tax fraud by individuals failing to declare that they are self employed to HMRC. The hidden economy team searches internet sites, newspapers, Companies House records and obtains information about property rentals from local authorities. Follow this link to find out more about the hidden economy teams and their tax investigations into suspected tax fraud and tax evasion.

Swiss/UK tax agreement

In August 2011, the UK government agreed a mechanism with Switzerland to ensure that UK tax that is due on funds held in Swiss bank accounts is paid.

Under the agreement, bank accounts and similar accounts held in Switzerland by UK-resident individual taxpayers will be subject to a deduction (on a one-off basis) of between 19 per cent and 34 per cent. The deduction will be made in 2013, provided that the account was open on 31 December 2010 and remains open on 31 May 2013. The deduction is designed to settle UK income tax, capital gains tax, inheritance tax and VAT relating to those funds.

The account holder can prevent the deduction being made by instructing the bank to disclose details of the account to HMRC, in which case HMRC will instead recover any unpaid taxes that actually apply to the account and the monies in it. This is not an amnesty like the Offshore Disclosure Facility, because HMRC will levy interest and penalties on any unpaid taxes which they discover.

From 2013, UK-resident taxpayers will need to make a similar choice about suffering an annual deduction or making full disclosure. Investment income will be subject to 48 per cent withholding tax and capital gains will be subject to 27 per cent withholding tax on an annual basis from 1 June 2013 if the account holder does not authorise disclosure of profits and gains to HMRC and pay the resulting UK taxes. This will be coupled with new information sharing provisions which make it easier for HMRC to find out about Swiss accounts held by UK taxpayers.

Anyone with a UK address or holding a UK passport will be caught by this cooperation between the two governments, unless they are non-UK resident. There are special rules if an individual is non-UK domiciled and claims the remittance basis.

If you have money in Switzerland, and wish to make sure that you comply with all relevant regulations and laws, without losing your shirt, or wish to make other banking arrangements outside Switzerland, consult the experts.

For more information or a free legal opinion telephone 020-7381-8111 (24 hour service) or email law@rhplaw.co.uk.

HMRC investigation of a UK resident with a Swiss bank account

You have money in a Swiss bank account.

You receive a letter from the special investigations team of HMRC under code of practice 9 (COP 9), advising you that they have reason to believe that your tax returns may be incorrect and setting out the terms of the investigation. A COP 9 investigation is a civil investigation of tax fraud, and there is a commitment not to prosecute where the taxpayer makes a complete and full disclosure and cooperates.

During the period of the investigation, HMRC can use its powers to request further information and documents. However, it cannot use the investigation as a means of obtaining information and documents to support or prove its suspicions where it did not previously have sufficient evidence – it cannot use a tax investigation to go on a ‘fishing expedition’ for evidence.

The solution

This is how we can help, and we offer highly competitive fixed fees.

we write to HMRC, acknowledge the COP 9 letter and ask for six weeks to review the matter with you
we undertake a review of your affairs to ensure that all is correct, in particular that there has been no failure of implementation either careless or innocent;
We meet with HMRC, without you, where we discuss the substance of the COP 9 and HMRC’s concerns. HMRC is generally forthcoming and indicative of its general concerns and information it holds;
We link HMRC’s concerns with your personal affairs and look to find answers and explanations; this may well result in the disclosure of information that goes beyond what is statutorily required by the tax return, but is prudent in dispelling and satisfying HMRC’s concerns; and
We meet HMRC again where we put our findings and explanations to them and hopefully bring the COP 9 to a close without further action.

So if you get the dreaded letter you know where to come

Consult the experts – For more information or a free legal opinion telephone 020-7381-8111 (24 hour service) or email law@rhplaw.co.uk.

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