Tax Enquiries – Section 9A Taxes Management Act 1970
Section 9A Enquiries
HMRC is entitled to enquire into any personal tax return and this will be initiated by a written notice quoting Section 9A. Returns may be selected at at random, including those in which everything appears to be in order, but most enquiries are selected according to risk, on the basis that there is significant tax at risk, or a suspicion that something is wrong.
HMRC do not say whether a particular enquiry was selected on risk or randomly, but may identify particular areas on which the enquiry will focus.
These notices must be issued within 12 months of the filing date of the return under query.
This may indicate a fairly routine enquiry, which can be resolved by the production of supporting records. However, it could also be the prelude to more serious investigations under the COP 8 or COP 9 procedures if HMRC suspect there is evidence of tax avoidance or tax fraud.