Business Tip #5: "Investigations - Informing On Your Builder"

If you get a letter from the taxman asking about building work, how should you react?

This new letter, headed "Request for Information" is yet another attempt at 'raising awareness of tax issues' combined with information gathering.

Information Requested:

  • Name & Address
  • Date building works carried out
  • Contact number
  • Description of work done

Then it asks questions about your builder:

  • Name & Address
  • VAT Registration number (if known)
  • Total cost of building work
  • Method of payment; Cheque, cash; together with amounts

Tip 1: Only where work is/was subject to building regulations

NB You are under no obligation to reply - not mandatory!

Tip 2: It's your builder the taxman is after

NB You may wish to inform your builder of such a letter?

Tip 3: Make sure you can prove where your financing for the work came from! WHY? Just in case the taxman decides to tie building regulations information (which he obviously has?) into your personal Tax Return.

You are NOT obliged to respond to a letter if it is not part of a formal tax enquiry into your tax affairs.

So, just put this one in the waste-bin, or, TALK TO US!

Safety Tip: We have many years of experience in dealing with HMRC and are, therefore, well equipped to deal with these matters on your behalf.

Moreover, we would welcome the opportunity to represent you.

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