Code of Practice 9: Civil Investigation of Fraud

Are HMRC investigating you, or a client, using Code of Practice 9 (Civil Investigation of Fraud)?  Lynam Tax partners have over 35 years’ experience in handling these worrying and difficult tax investigations.

HMRC’s code of Practice 9 procedures are the most serious and worrying of all tax investigations (apart from criminal prosecutions).  COP 9 is titled:  Civil Investigation into Cases of Suspected Serious Fraud.  It is usually issued where the taxman believes he has strong evidence of tax being under-declared but has decided not to prosecute; if the recipient co-operates fully.

A badly managed COP 9 Investigation can turn into a long running and deeply intrusive investigation.  Penalties in most cases will range from 35-100% of the tax the inspector thinks has been evaded.   Where the tax investigator thinks an incomplete disclosure has been made he may refer it to the Revenue & Customs Prosecution Office (RCPO).

COP 9 investigations are carried out by only two specialist units in HMRC; either the regional Civil Investigation of Fraud units or the elite Specialist Investigations teams.  Both are staffed by highly trained, experienced and committed tax fraud investigators.  Code of Practice 9 enquiries cover all taxes:  Corporation Tax, Income Tax, Capital Gains Tax, PAYE and VAT.

CIF units only issue COP 9 if they believe they have solid evidence of serious tax evasion and the total yield of tax, interest and penalties will be a minimum of £75,000.  Specialist Investigations (SI) only work cases where they anticipate collecting over £500,000.

COP 9 offers the chance to avoid prosecution and help penalties down but it requires you to produce a Full Disclosure Report.  A thorough professional Disclosure Report will keep out of prison and reduce your penalties.  A badly prepared report increases your risks.

Lynam Tax partners specialise in helping taxpayers with these stressful investigations.  We can help you save tax, interest and penalties.  We can save you years of stress, worry and disruption.  And we can help you avoid a criminal conviction.

If you, or your client, have received a Code of Practice 9 (Civil Investigation of Fraud) you need specialist help now.  Do not delay.  For a free, confidential, no obligation discussion with our Tax Investigation experts, call Paul Lynam today on: 0845 643 9997.