There is an old joke that states there are two certainties in life- death and taxes. While there are people who can advise you on how to reduce your tax bill, it is important to be aware of what your legal responsibilities. Any savings you make on a scheme could be cancelled out by massive fines, so it is important to be aware of the legal issues around tax and tax avoidance.
Tax avoidance is different from evasion because it is technically legal. However, these schemes are often against the spirit of the law, and any loopholes may be tightened. What may be legal at one point may become illegal at a later point, which is why having an experienced legal professional to hand is so important.
Some people reading this may think “If this is legal what is the problem?” The problem is that if HMRC finds out, they may ask you to pay the tax you owe. If you do not pay the amount you owe, then you could end up in court. With 8 out of 10 cases resulting in a victory for HMRC, it is best to avoid a potentially costly situation.
There is also the additional problem that if you are involved in an avoidance scheme, and it is proven, this could mean you will be more closely scrutinised for years to come.
Knowing the rules
Tax law comes into a lot of aspects of law, in terms of both the public and private sector. This can affect everything from writing a will, to buying a house and so forth.
It is important to emphasise that there is nothing wrong with seeking advice when it comes to tax issues. The right legal specialist can guide you through the process, and could potentially save you a lot of money in the long term. However, it is vital that this is done in a way that is legal and is in line with both the spirit as well as the letter of the law.
Larcomes has always believed in the motto “Big enough to specialise, small enough to care.” What this means is that our legal specialists have the training they need so that they can represent you. This is especially important when it comes to tax law, as it requires analysis, communication, and negotiation, as well as being aware of what is appropriate. Furthermore, it is vital that they have the resources necessary to support their case.
While this is important, another aspect is customer service. A legal representative is just that- someone who is representing you. Therefore, it is important you are comfortable with them and that they understand what you need from them. At Larcomes, we are a family firm, and that ethos has been with us from the start.
This is why we encourage people to contact us and come in for an initial consultation so that we can talk about your circumstances in more detail. For more information and to book an appointment, please contact us today.