Security Notice Requests 2017-04-27T16:40:42+00:00

What is a Security Notice?

A Security Notice is a request for the company to pay a bond to HMRC to satisfy potential future liability, served upon the company through a “Notice of Requirement”. Think of it as a deposit you pay up front, so that if you have a quarter or month where you cannot pay, there are funds there that HMRC can draw down from.

It is a huge cashflow problem for struggling businesses, and failure to provide the money upon request, can carry financial penalties. If you have received a letter either threatening a Security Notice or trying to impose a bond through a Notice of Requirement, and you cannot afford what they are requesting, then you need to seek advice.

What We Can Do For You

  • Get the Security Notice Request withdrawn

  • Give you some breathing space to allow other options to be considered

  • Act as your representative, standing between you and HMRC. We answer their questions, not you

  • Go through all the options available to find the best outcome

Security Notice Requests

A Security Notice is a request for the company to pay a bond to HMRC to satisfy potential future liability, served upon the company through a “Notice of Requirement”. Think of it as a deposit you pay up front, so that if you have a quarter or month where you cannot pay, there are funds there that HMRC can draw down from.

It is a huge cashflow problem for struggling businesses, and failure to provide the money upon request, can carry financial penalties. If you have received a letter either threatening a Security Notice or trying to impose a bond through a Notice of Requirement, and you cannot afford what they are requesting, then you need to seek advice.

What We Can Do For You

  • Get the Security Notice Request withdrawn

  • Give you some breathing space to allow other options to be considered

  • Act as your representative, standing between you and HMRC. We answer their questions, not you

  • Go through all the options available to find the best outcome

Why Would HMRC Need a Bond?

HMRC are obliged to deal with your Company whether you are a good payer or a bad payer. They can’t refuse your custom, like you can with your customers

They have therefore obtained some protection under legislation to deal with companies who they consider to be bad payers or who have some history of non-payment.HMRC may ask for a deposit or bond if they think there’s a risk you won’t pay your tax or duty on time. They call this a security. If you don’t pay your VAT or tax return, HMRC can use the security your company has lodged to settle the money owed.

HMRC won’t accept property or other high value items as a deposit.

If HMRC want to issue a Security Notice they will do so through a Notice of Requirement.

This will detail:-

  • How much you must pay

  • When you must pay it

  • How it can be paid

Security Notice Request, Notice of Requirement, Requirement to Give Security for VAT

Company Advice have the experience and expertise to get you back on track, no matter what company issue you are facing. Call us today if you would like help with this or any other Company related issue.


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Company Advice have the experience and expertise to get you back on track, no matter what company issue you are facing.

Call us today if you would like help with this or any other Company related issue.

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0800 007 5010

When Would a Security Notice Request Be Sent?

If your current or previous business has failed to comply with HMRC’s VAT/TAX obligations, or if HMRC have reason to believe that you might fail to comply with your VAT/TAX obligations, then a Notice of Requirement may be sent.

In our experience, this isn’t HMRCs first port of call. For them to get to this stage it is likely there have been significant lapses in payment and/ or returns being accurately and promptly submitted.This makes it harder for you to negotiate. If HMRC have had to threaten some form of enforcement, either Control of Goods or a Winding up Petition, before you decide to communicate with them, this is a red flag and it is likely they will send the company Notice of Requirement.

It is usual for HMRC to send a letter warning they may require security. However, if they believe that in doing so this may jeopardise their chance of not getting paid, they can send a Notice of Requirement without any notice.

If you have been warned that you are likely to be sent a Notice of Requirement, or have recently received one, you need to seek advice as soon as possible to discuss your options.

We can help you look at alternative outcomes, and different ways forward. Call us on 0800 007 5010.

GET HELP TODAY

If you can’t pay, then you need to seek advice and speak to us immediately so we can discuss your options. We may be able to step in between you and HMRC and get the Notice cancelled

How Do I Remove a Notice of Security?

Time to Pay Arrangement

We can help you draft a Time to Pay Arrangement, to offer to HMRC as an alternative to the Security Notice. Providing this arrangement is agreed by HMRC, settles the arrears in a timely fashion and enables the business to maintain ongoing liabilities, they will more than likely remove the Security Notice.

Tribunal / Appeal

Depending on the circumstances of the business, it may be possible to appeal and get the Notice removed.

Successful Appeal Examples


  • If it’s a new company, and the related office holder (usually Director) of the new company was not directly responsible for the failures of the previous business he was associated with, it is unreasonable of HMRC to ask for security.

  • If a previous business failed for reasons outside its control. For example, a major customer going bust and the knock on effect causing failure, again, it may be considered unreasonable to ask for security

  • If the new business (following on from a failed Company) is financially sound with returns submitted on time and paid in full, it may not be reasonable to request security.

  • If HMRC have not carried out detailed enquiries into the new company, this would indicate they are not in a position to assess risk, so it would be unreasonable to ask for security.

If you are experiencing trouble with any of the above, please get in touch with us today so we can go through your options in detail. All conversations are confidential, and we can help you onto a better path. Call us on 0800 007 5010

Security Notice Advice

If you’d like to look into the options surrounding your company, please contact Company Advice directly. Every business is different and requires a unique approach. Find out what your options are with a free, no obligation consultation today. We look forward to hearing from you.

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