April is the time of year we normally write to all clients to either renew/join our optional tax investigation service. Subscribers to the scheme who receive a; tax, PAYE, VAT inspection from HMRC, during the service period, benefit by having Hudson LM handle their inspection without having to pay for our costs incurred in this. The service is an insurance backed scheme that we take out each year and has been fairly popular amongst clients over the last five years.
We are about to send out renewal and invitation letters as the current service cover ends on 30 April. We have decided not to send letters out at this time, to the clients we consider to be the worst affected during the current National coronavirus crisis but we encourage any of these clients to contact us if they do want to be included in the new scheme period from 1 May and we can ensure we get the relevant paperwork to you. Other clients will receive letters shortly. As regards the clients we are not writing to at this time, we will review the position in May and will write to you at a later date.
We have decided not to send mailings out for this scheme to the worst affected businesses as we felt this particular service, in the scheme of what really matters to our clients at the moment, is a small item and we feel that the likelihood (whilst not impossible) of HMRC starting fresh tax enquiries during the next few months is probably slim.
We should point out that any clients who have not joined the new scheme period (received notification and paid the annual subscription cost) as of 1 May 2020, are not covered and in the event a tax enquiry is started during this time clients would be required to cover our costs in handling HMRC enquiries on their behalf. Clients are only covered once they have paid the subscription fee and notified us they want to be included.
Please note this is an optional scheme which we recommend but it is not mandatory.