We were introduced to a new client who had a retail showroom supplying household goods.
When we met him he was two and a half years into a prolonged and intensive tax investigation concerning his business and private affairs.
The tax investigation itself was causing considerable stress due to the length of time it had been going on and the uncertainty of what the final outcome would be.
After our initial meeting, we met without the client being present, with the tax inspector involved.
As it transpired, the tax inspector was keen to progress the case and bring it to conclusion, but was not getting the cooperation or the relevant information requested from the existing accountant dealing with the investigation.
We quickly ascertained where the tax inspector’s fishing exercise was going in relation to the investigation and what areas were critical. As in most investigations the inspector was working on the basis substantial amounts of income had been omitted from returns.
We quickly proved that her assumptions and ideas regards additional income (the total outstanding tax was in excess of £50,000) was incorrect and eventually agreed a far smaller settlement of around £7,000,
From start to finish it took us three months to conclude matter
The client was absolutely delighted and with the mental and financial stress gone was able to get his life back.