4 reasons why having a Tax Enquiry and Legal Expenses policy is more important than you think
Posted on 7th October 2016 by Donna Beanland
As a Freelance Contractor there are a number of policies you should bear in mind and need but here are 4 reasons you should really think about Tax Enquiry and Legal Expenses.
- ‘Whoa Whoa wait a minute Mr Tax Man’
It is commonly known that you could be approached by the HMRC for a tax or IR35 investigation. You never know if this could be you, each year the taxman can randomly select one out of 1,000 tax returns for scrutiny via random selection. It can be an expensive exercise having your accountant prepare your records.
- ‘Invoice Outstanding’
Wise poet Robert Frost once wrote “Don’t ever take a fence down until you know why it was put up.” You just never know when a contract dispute may arise or for what reason. In the long run these disputes can result in struggles to get invoices paid leaving you out of pocket until the issue is resolved.
- “He said , She said”
It’s great to have a supportive team behind you but what happens when even your most reliable employee acts out of line. When you have employees it means you could be at risk of an employment dispute such as unfair dismissal resulting in legal proceedings and hefty court costs.
- ‘The court hereby summons you’
Should you be called up for jury service you may suffer a loss of earnings. Many people will still be paid by their employer while they sit on a jury. However, for those self-employed you could find that you end up out of pocket. The maximum we will pay is the insured person’s net salary or wages for the time spent on jury service less any amount the court pays.
At Caunce O’Hara we don’t want you to be at risk our Tax Enquiry & Legal Expenses policy provides you with added protection and cover in the event of various situations which includes, but is not limited to, IR35 investigations, Tax Disputes, VAT Disputes and Debt Recovery.
How do you benefit?
This policy provides you with £100,000 as your level of cover and includes Tax Protection, Contract Disputes, Debt Recovery against Agencies and Clients, Employment Disputes & Compensation Awards, Legal Defence, Bodily Injury, Property Protection, Jury Service, Identity Theft and Court Attendance.
There are also Specialist Tax, Business and Legal Advice helplines available for you to call, contact details can be found in the back of the policy wording.
Some of these issues can leave you having to pay thousands. For a policy starting from £75 is it really worth missing out on?
If you would like any further advice, please contact our Schemes team for further information on 0333 321 1403
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