A local firm of accountants is warning businesses across the region to ensure their VAT and VAT payments are fully up-to-date following continuing reports that the HMRC is ramping up its powers to seize assets to settle unpaid bills.
With the numbers of businesses in the UK having assets seized increasing by more than a staggering 161% last year, compared with the year before, Shrewsbury-based DJH Accountants is urging firms to make sure that their financial affairs are in order or risk losing valuable capital equipment.
Fiona Green, Taxation Director at DJH, commented: “Historically, HMRC has been somewhat lenient when it comes to enforcing its powers of distraint to recover unpaid tax bills, and many businesses have been able to delay payments under a ‘time to pay’ arrangement. However, in these current times of economic uncertainty, HMRC is demonstrating that it is increasingly committed to recovering unpaid taxes, with the spotlight particularly focusing on VAT.
“If a business’s VAT bill remains unpaid, no matter what the individual circumstances, HMRC is legally entitled to enter a premises and seize its assets. This could potentially include machinery, equipment and vehicles that may be vital in the running of the business and which would have a huge detrimental impact on the future of that firm.
“I would urge businesses to seek professional advice to ensure that their VAT payments are in order and that they are paid on time and accurately, to avoid circumstances where their assets may be at risk. For those who may currently be having difficulties meeting bills, I would also advise them to get in touch with a professional as soon as possible to seek guidance on the best way forward.”
With dedicated bases in Shropshire and Staffordshire, DJH provides a wide range of services to businesses and individuals across the Midlands, including accountancy, tax advice, business start-up support, personal tax advice, and wealth management. Founded in 1984, the company has built up an enviable reputation for providing timely, cost-effective, and professional financial and business advice, tailored to the needs of each client, from large multinational companies to rapidly expanding SMEs.
For further information about DJH Accountants, please contact the Shropshire office on 01743 443390, the Staffordshire office on 01782 710101, email mailbox@djh.co.uk, or visit the website www.djh.co.uk.
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