As part of our governance procedures we monitor the risk
assessment process to make sure that the accounts submitted are
correctly identified for amendment or enquiry, with the minimum of
delay. We do this by way of a ‘Mandatory Full Enquiry’
sampling exercise.
We pick a random selection of cases at the point when they
are about to be reviewed by the Compliance Risk Assessors (
IHTM29032). We treat all the selected
cases as full enquiry cases, irrespective of the decision taken by
the risk assessors. The aim is to find out the additional tax would
be yielded from a full investigation of all potential enquiry
cases, assuming the resources were available for this.
The risk assessment portfolio holder will provide an annual
report to the Compliance Group Manager. In this report they will
comment on the results of the risk assessment validation sample. By
the end of the year some of the sampled cases will still be under
review. So the report will only contain those results that are
available. The report will make recommendations on changes to the
risk assessment process where areas for improvement are found.
