An HMRC letter deserves attention, but its arrival does not tell you that something is wrong. It might request information, explain a tax calculation, chase a payment or open a compliance check. The useful first question is: what exactly is this letter asking me to do, by when, and for which person or business?
In this article
- Read the request and response date
- Check the letter is genuine
- Gather records and contact your adviser
- Agree and track the response
Keep the envelope and all pages together. Scan a complete copy, including any attachments, and record when it arrived. Avoid responding from memory before you have checked the relevant records.
Read the request before gathering everything
Highlight the tax involved, the period, the reference number, the requested action and the deadline. Check whether the addressee is you personally, a company or another entity. A director’s personal tax affairs and their company’s Corporation Tax records are different files.
Create a short action log:
| Question | What to record |
|---|---|
| What is being requested? | A payment, explanation, missing return, documents or a meeting |
| Which period is involved? | The exact tax year, accounting period or dates |
| What is the response date? | The deadline shown and an earlier internal review date |
| Who has the evidence? | Owner, bookkeeper, accountant, payroll provider or bank |
| Who will reply? | One named person, with authority and agreed scope |
If the wording is unclear, obtain clarification through a verified HMRC contact route. A guess about the question can lead to a detailed answer that misses the issue entirely.
Establish that the contact is genuine
Do not rely only on a logo, urgent wording or a telephone number printed in an unexpected message. Check contact details independently on GOV.UK, particularly before making a payment or providing bank details. GOV.UK explains how to recognise and report suspicious communications.
Authenticity and urgency are separate questions. While checking a suspicious contact, preserve any genuine filing or payment deadlines already known to you. Keep copies of what you checked and which verified channel you used.
Build an evidence pack that answers the question
Start with the records directly relevant to the request. For a sales query, that may mean invoices, credit notes, payment reports and bank entries. For an expense, gather the supplier invoice, proof of payment and an explanation of its business purpose. For payroll, include the applicable payroll reports and submitted information.
Give documents understandable names and prepare an index. Show how totals connect: a bank receipt might represent several invoices, while a payment platform settlement could be sales less fees and refunds. A brief reconciliation is often more useful than sending an unlabelled folder of screenshots.
If something is missing, record the gap honestly. Ask the supplier or bank for a duplicate where possible. Do not recreate an original document in a way that makes it look contemporaneous, and do not silently replace filed records with revised figures. Preserve the original and document any correction separately.
Agree the response and the boundaries of support
Share the whole letter with your adviser rather than summarising it over the phone. Confirm whether their engagement includes reviewing the question, reconciling figures, drafting a reply, communicating with HMRC or supporting a formal dispute. These are distinct tasks.
HMRC’s compliance checks guide explains that checks can cover tax returns, calculations and PAYE records, and that formal information or inspection notices carry consequences if ignored. A request for a visit or a formal notice therefore needs prompt, case-specific review.
If you cannot provide everything by the stated date, raise that before the deadline. Explain what is available, what is outstanding and the time needed. Do not assume that an extension has been granted: obtain confirmation and update the action log.
An illustrative sales query
Imagine a small consultancy receives a request to explain why bank receipts exceed sales shown in its accounts. Its owner initially thinks an invoice has been omitted. A reconciliation instead identifies an owner’s loan, a customer prepayment and receipts relating to earlier invoices.
The response pack includes the bank lines, invoice references, loan evidence and an explanation of the accounting treatment for review. This hypothetical example does not establish what HMRC will accept. It demonstrates why separating facts before answering is more dependable than offering an immediate explanation.
What happens after you reply?
Keep the final response, its supporting documents, proof of submission and a record of any call. Note further requests and agreed dates in the same log. If HMRC issues a decision you disagree with, read its appeal instructions promptly; tax decision appeals have routes and deadlines that depend on the decision.
If an amount is due and cash is tight, address payment separately from any disagreement about the calculation. Discuss the position through the relevant verified HMRC channel rather than leaving it unanswered.
For help organising records or reviewing the accounting questions, contact EPOS Accountancy about tax support. Send the letter securely and state the response date. Any representation, investigation or specialist dispute work must be confirmed before engagement. The pricing page explains the next step for agreeing fees and scope.