Tax Investigation Insurance
Peace of mind if HMRC come knocking — professional fees covered so you're never left out of pocket.
What Is Tax Investigation Insurance?
HMRC can open a tax investigation into any individual or business at any time — even if you've done nothing wrong. Investigations can be triggered randomly, by industry risk profiling, or by discrepancies in your returns.
The cost of professional representation during an investigation can run into thousands of pounds. Tax investigation insurance (also known as fee protection insurance) covers these costs, so your accountant can deal with HMRC on your behalf without you worrying about a mounting bill.
What's Covered
Full HMRC enquiry
Professional fees for dealing with a full enquiry into your Self Assessment or Corporation Tax return.
Aspect enquiry
Targeted investigations into specific areas of your return — such as expenses or a particular income source.
VAT inspection
Costs of representation during a VAT compliance visit or investigation.
PAYE & CIS compliance
Cover for employer compliance checks into your PAYE or CIS submissions.
IR35 enquiry
Representation if HMRC challenges the employment status of a contractor working through your company.
Informal information requests
Even informal HMRC requests for information can require professional handling — and this is covered.
Did You Know?
HMRC opens around 300,000 compliance checks every year. Even if your affairs are in perfect order, defending an enquiry can cost £3,000–£5,000+ in professional fees without insurance.
Available as an Add-On
Tax investigation insurance can be added to any of our plans for a small annual premium. Ask us for details or get in touch →
Free: 2026/27 Tax Deadline Calendar
Every key HMRC date for the tax year — self-assessment, corporation tax, VAT, payroll, and more. Sent straight to your inbox as a PDF.
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Common Questions
How much does tax investigation insurance cost?
It's typically a small annual premium — far less than the cost of dealing with an investigation without cover. Contact us for a quote.
Can HMRC investigate me even if I've done nothing wrong?
Yes — HMRC conducts random checks as well as targeted investigations. Having insurance means you're protected regardless of the reason.
What happens if I don't have insurance and get investigated?
You'd need to pay your accountant's fees directly for handling the enquiry. This can easily run into thousands of pounds depending on the complexity and duration.
Is the insurance premium tax-deductible?
Yes — the cost of tax investigation insurance is an allowable business expense and can be deducted from your taxable profits.