What Will a PAYE Tax Inspection Involve?

Incorrect tax compliance can be a very serious issue and can incur costs that will not only inconvenience your business, but may well debilitate it. Therefore, when it comes the time for a PAYE inspection you’ll want to ensure that no stone is left unturned. With Dataplan Payroll's payroll outsourcing services, we can not only handle your entire outsourcing requirements but can also administer a “PAYE healthcheck”; an affordable way to guarantee tax compliance.

The idea of a PAYE inspection can seem daunting, especially if you don’t have the extra peace of mind of payroll outsourcing – but what does a PAYE inspection involve?

A PAYE inspection is a actually a pretty rigorous process and therefore has many classifications. As a rough idea, subjects for a PAYE inspection are usually chosen randomly (unless there are error on your forms, or some other reason to warrant an inspection) and therefore on average you are likely to be inspected once every 6 years.

After arranging a meeting your inspector will request the forms that they want to see, such as payroll, or expense claims and they may even request contracts - in which case you should be prepared for a full review.

If a PAYE inspection exposes that something is wrong, then they will act to retrieve any appropriate tax or even issue a penalty, depending on your cooperation.

The above is a very rough outline of an inspection, but needless to say with payroll outsourcing you will be protected against all potential issues. So, why not choose Dataplan Payroll's payroll outsourcing services – the “pure” payroll solution.