Tax Compliance
and HMRC  

Companies that fail to keep adequate tax records may be fined up to £3,000 per failure.

A tax enquiry or investigation from HMRC can be enormously stressful and time consuming. They can often crop up when there has been no wrongdoing.

As Gravitate clients, you will have our team in your corner, communicating with HMRC throughout the enquiry, as well as preparing and submitting necessary paperwork. Our proactive approach to compliance will also help ensure minor errors cannot escalate in such a way.

HMRC enquiries on direct tax can take numerous forms but, in practice, they are lengthy processes which typically last between 12 and 24 months. The costs to defend a taxpayer’s position will often fall between £3.5k to £6k, even where HMRC conclude that no tax has been underpaid.

Given HMRC are increasing their resources to undertake more enquiries to minimise the tax gap, the value of cover against enquiries is a significant benefit for cost and peace of mind.

Making Tax Digital affects VAT, income tax, and will soon affect corporation tax too. Gravitate can help you transition to a fully digital finance function, including the best MTD-compatible software available. We will also make sure your reporting processes meet all HMRC requirements.

Post-termination payments to departing employees can result in unexpected tax liabilities, thanks to HMRC’s PTNP rules. Our team can help you calculate and report on PTNP, so you know you are meeting your PAYE obligations and avoiding costly mistakes.

IR35 rules can cause real headaches for companies hiring a lot of contractors, but they are essential to get right to avoid significant risks. Gravitate will carry out detailed IR35 risk assessments for you and provide clear, helpful plans for when you’re engaging contractors.