SERVICES

QDOS

Why Do We Offer Tax Enquiry Insurance ?

H M Revenue & Customs (HMRC) has the power to open an enquiry into any tax return or set of business accounts. No reasons are given for opening enquiries and thousands are started every year at random. Since the merger of HM Customs & Excise and the Inland Revenue, the risk of an enquiry is greater than ever and the costs of dealing with these enquiries have increased.

We strongly recommend that our clients take out protection against the additional fees that will arise in the event of a tax enquiry or dispute. If they do not , then they may be liable for thousands of pounds of professional fees incurred in defending themselves.

In the event of a tax enquiry or dispute, participating clients will have cover for fees of up to £75,000 (a lower limit will apply to some elements of cover).

The insurance includes the following benefits:

Cover for an HMRC aspect enquiry, which does not include a request to examine all books and records, into a personal or business tax return.
Cover for an HMRC full enquiry, which includes a request to examine all books and records, into a personal or business tax return.
Cover for a PAYE, NIC or VAT dispute.
The policy for a limited company or business partnership also includes cover for each director, partner and their spouse or civil partner, provided that we complete the individual's tax return, although this is subject to additional personal limits as detailed in the enclosed leaflet.
Telephone access to Qdos specialists on any matter relating to employment and health & safety law and its associated compliance requirements

You should note that in providing this insurance we are acting as a general insurance intermediary. We are licensed to undertake these activities by the Institute of Chartered Accountants of Scotland.

Summary of Cover in Fuller Detail

Qdos Tax Enquiry Insurance will cover up to £75,000 (a lower limit will apply to some elements of cover) of fees, expenses and other disbursements, less any policy excess that may apply, reasonably incurred by Campbell Dallas and associated specialists should you become involved in any of the following enquiries or disputes:

This Policy Will Cover (PWC)	Relevant Policy Section
Full Enquiries and Investigations - An enquiry by H M Revenue & Customs (HMRC) into your self-assessment return following the issue of a notice under Section 9A or Section 12AC of the Taxes Management Act 1970 or Schedule 18, paragraph 24 of the Finance Act 1998 together with a request to examine your books and records.	PWC 1
Aspect Enquiries - An enquiry by HMRC into your self-assessment return which is limited to one or more specific aspects of your self-assessment return following the issue of a notice under Section 9A or Section 12AC of the Taxes Management Act 1970 or Schedule 18, paragraph 24 of the Finance Act 1998.	PWC 1
Employer Compliance Disputes - A dispute with HMRC following a routine inspection into the operation of PAYE and NIC.	PWC 1
IR35 Disputes - An enquiry by HMRC conducted into the status of the insured under the Social Security Contributions (Intermediaries) Regulations 2000 and/or the Welfare Reform and Pensions Act 1999 and/or the Finance Act 2000.	PWC 1
VAT Disputes - An appeal against an assessment or written decision issued by HMRC.	PWC 2
Note that this insurance only covers enquiries or disputes with Revenue Authorities whose jurisdiction is within the United Kingdom of Great Britain and Northern Ireland excluding the Isle of Man and the Channel Islands.

As with any insurance policy there are some exclusions, which include:

This Policy Will Not Cover (PWNC) Conditions of Cover – General (COCG)	Relevant Policy Section
Professional fees incurred without the prior consent of Qdos.	PWNC 1
Where any circumstances of a claim are known of at inception of this Policy or where an incident arises directly from an enquiry or dispute undertaken by HMRC prior to the inception.	PWNC 2 & 3
Professional fees relating to attendance at a routine inspection undertaken by HMRC (PAYE/NIC and/or VAT) or routine correspondence prior to the dispute or assessment being raised.	PWNC 4
Enquiries or Disputes involving tax returns, which are submitted late.	PWNC 6
Enquiries or Disputes where you do not keep prime records.	COCG 5
Professional fees incurred in respect of enquiries or disputes involving tax avoidance schemes will be limited to £250.	COCG 7