The boss of a chartered accountants with clients across Kent says companies are becoming increasingly concerned at what they call the "heavy-handed" tactics used by HMRC tax collectors.

Nick Paterno, managing partner of Sidcup-based McBrides, says the speed at which HMRC has "cranked up" its act to recover unpaid tax and overdue VAT has alarmed many small and medium-size businesses.

The tactic has heaped more problems on them, he says, at a time when they are struggling to cope with cash flow during the recession.

"In more than 35 years of dealing with HMRC, we have grown used to seeing changes in their attitude and methods of approach.

"However, the heavy-handed tactics we are being told about at the present time have been something of a revelation – and, given the poor performance of the economy as a whole, a shock not just to our clients but to us as well."

He says McBrides' Kent clients have reported instances of HMRC:

• turning up unannounced and demanding VAT payments
• issuing distraint proceeding for late corporation tax
• refusing repeated requests for breathing space under "time to pay" arrangements
• requesting details of directors' salaries and their own personal resources.

Mr Paterno added: "Bank funding is still scarce and difficult to obtain and many owners have already ploughed personal funds into their businesses to ensure their survival.

"It is difficult to know where owner-managers can now turn for financial support. Now, more than ever, they need co-operation and understanding from HMRC – not combat."

Mr Paterno said: "Even when you think all avenues have been exhausted, we can sometimes find another route – but it's becoming increasingly difficult."