How we got three years of returns filed for a Harlesden trader — HMRC estimate cut by £16,000
Client A runs a Caribbean and African food shop and takeaway on Harlesden High Street that had grown steadily, but the owner had fallen behind on self-assessment during a difficult period and hadn't filed for three years. HMRC had issued estimated assessments of around £24,000 plus penalties, far above the actual modest profits.
We did emergency triage. We reconstructed three years of trading from bank statements, supplier invoices and till records, prepared and filed the three returns showing the actual profits (far lower than HMRC's estimates after legitimate costs — stock, rent, business rates, utilities, staff), and wrote to HMRC requesting reduction of the late filing penalties on reasonable-excuse grounds. We arranged a Time to Pay arrangement for the genuine tax due.