What to Do If You’re Facing Accounting or Tax Problems in the UK
Running a business in the UK comes with a long list of responsibilities — and staying on top of your tax and accounting obligations is one of the most critical. But what happens when something goes wrong?
Whether you’ve missed a deadline, made a mistake in your records, or received a letter from HMRC — don’t panic. Here’s a practical step-by-step guide to help you get back on track.
1. Identify the Problem Clearly
Start by understanding exactly what has gone wrong. Common scenarios include:
– Late submission of tax returns or Companies House filings
– Missed tax payments
– Accounting errors or mismatched figures
– A letter or penalty notice from HMRC
Tip: Gather all relevant documents and correspondence. You’ll need these to assess the next steps properly.
2. Don’t Ignore Communication from HMRC or Companies House
If you’ve received a letter or notice, respond within the given timeframe. Ignoring it won’t make it go away — it will likely lead to additional fines and interest.
If you’re unsure how to respond, speak to a professional before taking action. A qualified accountant or tax adviser can respond accurately on your behalf.
3. Speak to a Qualified Accountant or Tax Adviser Immediately
Even if you already have an accountant, now is a good time to double-check that your finances are being handled correctly. If you’re not confident, we at Audit Consulting Group can offer an independent review of your current situation.
4. Correct the Mistake and Submit Revised Returns
UK tax law allows for voluntary corrections — but timing is key. You may be able to submit an amended return or a voluntary disclosure to HMRC to rectify the issue and reduce potential penalties.
5. If You Can’t Pay — Ask for a Time to Pay Arrangement
If you’re unable to pay a tax bill in full, HMRC may agree to a payment plan. But you’ll need to provide clear and reasonable evidence that you’re trying to settle the debt in good faith.
Having professional help when negotiating with HMRC can significantly improve your chances.
6. Prevent Future Problems
Once the issue is resolved, it’s time to improve your accounting setup:
– Move to cloud-based software like Xero or QuickBooks
– Outsource bookkeeping and compliance to a trusted firm
– Book regular reviews with a tax adviser
How Audit Consulting Group Can Help
– We specialise in helping UK-based businesses:
– Fix accounting mistakes and resubmit returns
– Deal with HMRC correspondence and disputes
– Avoid penalties and legal risks
– Set up robust, automated systems to prevent future issues
Contact us today for a free initial consultation — we’re here to help you take back control.
Final Thoughts
Tax and accounting problems are stressful — but they’re also solvable.
The key is to act quickly, seek expert advice, and put systems in place to prevent it from happening again.
With the right support, you can not only resolve the issue — but come out of it with a stronger, more confident grip on your business finances.