What an enquiry actually is
A compliance check is HMRC checking your figures — not, in itself, an accusation. An aspect enquiry looks at one item (a specific expense, a VAT entry); a full enquiry examines the whole return. HMRC opens many checks on a routine or risk basis, and a well-kept return often closes them quickly.
What tends to trigger one
- Figures that look inconsistent, or out of step with your industry
- Large or unexplained year-on-year swings
- Persistently low profits or director’s pay against lifestyle
- Persistent late filing or a history of errors
- Third-party information, tip-offs, or random selection
The single best protection is boring: accurate, consistent, well-documented returns filed on time.
How far back HMRC can go
- 12 months from filing — the normal window to open an enquiry
- Up to 4 years — to assess an innocent error
- Up to 6 years — where there was carelessness
- Up to 20 years — for deliberate behaviour
This is exactly why keeping records for at least six years matters.
Your rights — and how to respond
You can insist HMRC’s requests are relevant and proportionate, be represented by your accountant, have reasonable time to reply, and appeal decisions and penalties. The right approach: tell your accountant straight away, gather what’s asked for, and respond through them — not with off-the-cuff answers that can widen the enquiry.
We'll deal with HMRC for you
An enquiry is far less stressful when someone who knows the rules handles it. We respond on your behalf, keep it proportionate, and get it closed as quickly as the facts allow — whether you’re already a client or come to us mid-enquiry. Call 0114 327 1480.