Tax Liability Cover

What is TLC?

TLC is a revolutionary insurance concept giving you the ability to insure yourself or your business comprehensively against the consequences of a Revenue investigation. The policy will compensate you for the additional tax burden as well as the professional fees incurred in defending a demand. This new service is the result of years of successful partnership between Composite Legal Expenses and NIG. TLC covers can cost as little as £15 per month and provide complete peace of mind.

How does TLC work?
TLC is in two parts:

Part 1 (Professional Fee Protection) provides insurance against the professional fees incurred in defending a tax investigation, PAYE / NIC or VAT dispute. This cover is automatic (subject to satisfactory completion of Section 1 of the application form) and we will notify you of cover acceptance within 48 hours of receipt.

Part 2 (Additional Tax Compensation) involves us reviewing the accounts and returns you wish to insure. For larger or more complex taxpayers this may involve a “health check”. The cover for this part of the service includes compensation for the additional tax due as a result of an Inland Revenue investigation, for an additional premium you can extend the cover to other areas of tax such as PAYE / NIC or VAT.

Following receipt of your application and documentation we will advise you of your specific TLC premium, together with the policy conditions. This will normally be confirmed within 14 days and cover will commence from the date of your acceptance. Your premium deposit paid previously will be credited against this.

Example:

  • ABC Ltd wants TLC cover for Year Ended 30/04/00 (Turnover £250k)
  • Application form returned with premium deposit for £100.
  • ABC now have Fee Protection cover.
  • Qdos review your TLC application and quote premium of say £300.
  • ABC accept terms and pays the balance of £200.

How will TLC benefit you?

TLC will offer you total protection against an unfair tax demand, giving you peace of mind. All we require is that you have acted reasonably in maintaining your books and records and we will take care of the rest!

TLC removes the potential of costly litigation against your Accountant or other adviser if an unexpected tax bill arises, which in turn preserves working relationships.

TLC provides an umbrella in respect of both technical treatment of tax affairs and challenges by the Revenue as to the performance and credibility of a business or an individual’s tax return.

If during the process of risk review it is felt that further conditions should apply to the policy these will be stated on the policy document without prejudice. If the client does not wish to proceed at this stage the premium will be refunded.