Call us on 0191 372 0878 for a free consultation, or email info@thetaxfaculty.co.uk

The Tax Faculty

The Tax FacultyThe Tax FacultyThe Tax Faculty
  • Home
  • Capital Gains Tax
    • Overview
    • Covid-19 Investigations
    • COP9 Investigations
    • COP8 Investigations
    • Criminal Investigations
    • HMRC Compliance Checks
    • Tax Appeals
    • Tax Tribunals
    • Debt Management
    • IR35 Investigations
    • Residence & Domicile
    • VAT Checks & Repayments
    • Voluntary Disclosures
    • Tax Planning Overview
    • Business Restructuring
    • Tax Risk Management
    • Research & Development
    • Inheritance Tax & Trusts
    • Capital Allowances
    • EIS Relief
    • Overview
    • Practice Support
    • Insolvency Practitioners
    • Lecturing & Presenting
    • Expert Witness Work
    • Practice Risk Management
    • Accounting Practices
    • Consultants
    • Blog
    • Reviews and Testimonials
    • Home
    • Capital Gains Tax
    • HMRC Enquiries & Disputes
      • Overview
      • Covid-19 Investigations
      • COP9 Investigations
      • COP8 Investigations
      • Criminal Investigations
      • HMRC Compliance Checks
      • Tax Appeals
      • Tax Tribunals
      • Debt Management
      • IR35 Investigations
      • Residence & Domicile
      • VAT Checks & Repayments
      • Voluntary Disclosures
    • Tax Planning
      • Tax Planning Overview
      • Business Restructuring
      • Tax Risk Management
      • Research & Development
      • Inheritance Tax & Trusts
      • Capital Allowances
      • EIS Relief
    • Practice Support
      • Overview
      • Practice Support
      • Insolvency Practitioners
      • Lecturing & Presenting
      • Expert Witness Work
      • Practice Risk Management
    • Join our Network
      • Accounting Practices
      • Consultants
    • About Us
      • Blog
      • Reviews and Testimonials

The Tax Faculty

The Tax FacultyThe Tax FacultyThe Tax Faculty

  • Home
  • Capital Gains Tax
HMRC Covid-19 Tax Fraud Investigations, HMRC Furlough and Job Retention Scheme
HMRC Disputes & Enquiries

Covid-19 Investigations

The cost of supporting the UK economy through the Covid-19 pandemic will be astronomical. HMRC will no doubt come down hard on those that they find to be making fraudulent claims to the aid under the Job Retention Scheme and Furlough payments. Contact The Tax Faculty to find out how our experts can help you.

HMRC Covid-19 Tax Fraud Investigations, HMRC Furlough and Job Retention Scheme

Covid-19 Investigation assistance

It is still too early in the pandemic to know exactly how much the total cost of the aid provided to individuals and businesses in the UK, but it will likely be more than £300bn just for the financial year from April 2020 to April 2021, according to the Office for Budget Responsibility (OBR).


How can the government hope to cover the cost of this financial aid? The most obvious way is to ensure that those who claim the assistance are indeed entitled to receive the amounts that they have claimed. This means opening enquiries and investigations into the claims that are made and hitting any who abuse the aid with severe financial penalties.


BBC News recently reported that HMRC have made what is thought to be the first arrest while investigating fraudulent claims. A man was arrested on suspicion of defrauding the government's furlough scheme out of £495,000 and a spokesman from HMRC stated that "we will not hesitate to act on reports of abuse of the scheme".


As of May 2020 HMRC said that they are conducting over 1,000 investigations into abuse relating to potential misuse of the scheme. Employers are being told to keep records for five years, so it is clear that HMRC may decide to open enquiries at a later date if they feel that there is a case where assistance was claimed fraudulently.


HMRC have also recently updated their "whistle-blower" web page to include requests for information on anyone who is committing fraud in relation to the HMRC-administered coronavirus relief schemes, which are the:


  • Job Retention Scheme
  • Self-Employment Income Support Scheme
  • Statutory Sick Pay support for employers


As discontent spreads through the UK from job losses, redundancies and failed businesses, it is natural to assume that many will use this facility to inform HMRC of the people and businesses that they suspect have committed such fraud. This will inevitably mean that HMRC will increase the number of investigations that they open where they suspect that fraud has taken place.


HMRC will expect that as a minimum all fraudulent claims are repaid and it is highly likely that severe penalties will be charged and there is the potential that HMRC will extend their investigations into further areas, potentially through criminal proceedings.


Our experts number industry award-winners for the way in which they handle investigations, making The Tax Faculty the best place for pragmatic advice. All initial consultations are free of charge as we know how confusing and complex HMRC investigations can be, therefore we want to be sure that we are best placed to assist before you commit to our services.

Have you received contact from HMRC in relation to Covid-19 payments?

Have you or one of your clients received correspondence from HMRC in relation to payments received from the government to assist with the Covid-19 pandemic? Before you respond to the letter, please contact us as soon as possible so that we can make sure that you take the necessary steps to ensure that any response is correct, complete and most importantly does not prejudice the future of any resulting investigations.

Contact Us

Contact Us

Message us on WhatsApp

The Tax Faculty

Belmont Business Park, Belmont, Durham, DH1 1TW, United Kingdom

info@thetaxfaculty.co.uk For urgent assistance, please call 07875095886

  • Privacy Policy

The Tax Faculty LLP - info@thetaxfaculty.co.uk

Portland House | Belmont Business Park | Durham | DH1 1TW

Contact us on 0191 3720878 for a free consultation

Copyright © 2020 The Tax Faculty LLP - All Rights Reserved.

This website uses cookies.

We use cookies to analyse website traffic and optimise your website experience. By accepting our use of cookies, your data will be aggregated with all other user data. Privacy Policy

DeclineAccept