HMRC Fraud Investigation Service use the Contractual Disclosure Facility to issue a Code Of Practice 9 Investigation. It is a leaflet that outlines the position of HMRC, what is required when completing the forms for Contractual Disclosure, the actual forms and what is involved in the investigation process. A Code Of Practice 9 investigation is only issued if there is suspicion of serious tax avoidance.
UNDERSTANDING COP9 TAX INVESTIGATIONS
Essentially, the Code Of Practice 9 establishes the procedures and protocols HMRC are expecting to operate under when there is suspicion of serious tax fraud. This highlights:
How HMRC handle income tax investigation when a COP9 has been issued is a crucial factor. If it is handled badly it could result in the individual or company receiving increased penalties, as well as the company or individual’s name being published on HMRC’s website for tax fraud. This is why it is crucial that as soon as you receive a letter outlining HMRC’s intentions, that you contact an experienced and qualified team like Accountancy Solutions to guide you through the process.