Tax Enquiry Service

Tax inquiry information sheet

Download our information sheet here.

Our fees

For business clients, our annual tax enquiry service fee is based on the level of the fee for the year end accounts/business tax return:

For fees up to £250 £35 plus vat
£251 to £500 £55 plus vat
£501 to £1,000 £75 plus vat
£1,001 to £2,000 £105 plus vat
£2,001 to £4,000 £195 plus vat
Over £4,000 £275 plus vat

You will be included within the service if you have paid the fee as detailed above and cover runs for twelve months from the date of invoice for the tax enquiry service.

The tax enquiry service fee for a business, also covers the personal tax returns of associated partners in the business, sole traders and company directors, where those personal tax returns are materially based upon the underlying business accounts/payroll/dividends.

For personal tax clients our tax enquiry service fee is £35 plus vat per year.

Summary of the service

Mackenzies is the policyholder and is insured in respect of charges incurred for work undertaken in respect of this service. This document does not give full details of the cover provided. A copy of the Policy containing all of the terms and conditions is held by Mackenzies and is available on request. The insurance is arranged through Taxwise Services Limited (FSA No 304970) and underwritten by Irwell Insurance Company Limited (FSA No 202897). A summary of the policy is as follows:

The policy will cover

The insurer will provide up to £75,000 (a lower limit will apply to some elements of cover) in respect of:

Fees incurred by Mackenzies attending meetings with H M Revenue & Customs (HMRC) or responding to correspondence from HMRC when you are subject to an HMRC check, enquiry, visit, meeting or dispute. Including professional fees incurred in respect of a local review of the enquiry and preparation and representation at an appeal to the First-tier Tribunal or Upper Tribunal.

Making a claim

You must notify Mackenzies in the event of an incident or circumstance which might lead to a requirement for them to represent you under the Fee Protection Service. Mackenzies will make claims and credit proceeds against your liability for fees (“fee credit”), you could be liable for fees should the claim be denied.

Only work undertaken by Mackenzies or by other professionals instructed by Mackenzies is covered.

If Mackenzie’s appointment as your accountant and or tax adviser is terminated by you, then all cover under the service will cease immediately.

Conditions

The tax enquiry service is only valid, and you will only be entitled to receive any fee credits; if all of the following apply;

  • Mackenzies are instructed solely to deal with the HMRC enquiry on your behalf; and
  • Unless otherwise agreed by Mackenzies in writing, Mackenzies are your sole agent appointed to deal with HMRC on your behalf; and
  • You have paid Mackenzie’s fee for the tax enquiry service in full, before the HMRC enquiry commenced, or if the fee was invoiced to you within 60 days before the HMRC enquiry commenced, that you paid it in full within 60 days of the invoice date; and
  • You are a client of Mackenzies at the time that the HMRC enquiry was opened and remain so until the enquiry is closed; and
  • When the HMRC enquiry commenced, no fees were owed to Mackenzies, for whatever service, which were unpaid for more than 60 calendar days after the date of invoice, or if they were then you paid those fees within 14 days of the HMRC enquiry commencing.

Mackenzies will not be able to make a claim against the policy, and you will therefore not be entitled to any fee credit under the tax enquiry service, in the following circumstances:

  • Enquiries or Disputes, which have commenced prior to the inception of the Policy.
  • Enquiries or Disputes resulting from tax returns, which are submitted more than 30 days after the statutory filing date.
  • Enquiries or Disputes where fraudulent evasion of tax is involved.
  • Enquiries or Disputes involving tax avoidance schemes.
  • Fees relating to the routine presentation of your affairs including the preparation or rectification of self-assessment tax returns, accounts, P11Ds, P35s, VAT returns or any other statutory returns.
  • Fees, expenses and disbursements incurred without the prior consent of Taxwise.
  • Fees incurred reconstructing books and records that have been poorly maintained.
  • Fees incurred as a direct consequence of a deliberate and significant omission of taxable income.
  • Enquiries commenced by Special Civil Investigations (SCI) under Code of Practice 9. SCI Code of Practice 8 enquiries limited to £5,000 provided fraud or fraudulent intent is disproved

A condition of the arrangement made with the insurers is that all claims must occur and be notified during the Period of Insurance.

This service only applies to enquiries or disputes with HMRC, whose jurisdiction is within the United Kingdom of Great Britain and Northern Ireland excluding the Isle of Man and the Channel Islands.

Employment and health & safety support service

You have telephone access to our consultants who are available to assist you with practical advice on any employment and health & safety issues your business may encounter. The service is available weekdays between 9am to 5.30pm.

Policy Number: TXWS6093

Require more information?

If you would like more information or would like to ask us a question then call us on Maidstone 01622 358280 - Newport 01983 528139.