A6.633 Business record checks programme up to 2015 only
Note that HMRC's Business Records Checks programme ceased in 2015, so this information is retained for historical and academic interest only.
In December 2010 HMRC issued a consultative document1 setting out its plans to carry out 50,000 cross-tax compliance check visits a year into SME businesses, looking at current year (pre-return) business records, with a view to warning those with weaknesses in record keeping; and issuing penalties to those with no records/significant failure, based on existing legislation. HMRC's assumption was that poor record keeping led to loss of tax and that an estimated 40% of small businesses had poor records, and it estimated that the programme would raise £600m over four years.
In early 2011, HMRC began a pilot programme of pre-return Business Record Checks (BRC), designed to check whether the records of small businesses were adequate, given the nature and size of the