RANDOM TAX INVESTIGATIONS
How Random Tax Investigations Start
A Random Tax Investigation is randomly performed on the tax return of an individual or business. This is commonly a full inquiry and is performed as a spot-check by HMRC. These have become increasingly common in recent years as HMRC has increased its attention to potential tax avoiders.Random Tax Investigations are performed entirely at random on any given business, with particular emphasis targeted at higher risk tax areas/sectors in a bid to discourage negative tax practices and tax evasion. A typical target would be SMEs (Small to Medium Sized Enterprises).