HMRC plans further “tax cheats” campaigns
In further campaigns, to be launched later in the year, HMRC will target tradespeople working in the home improvement market, people who receive income from buying and selling goods direct to others, or are paid commission, and people who fail to make tax returns and who are liable to pay tax at the highest tax rates. HMRC have said they will use new technology to search the internet for information about specified, targeted people and businesses.
The new campaigns will focus on:
- Missing returns. This will contribute to wider HMRC activity tackling failure to complete tax returns. It will initially focus on those who fail to complete tax returns and who are liable to pay tax at the highest rates.
- Home improvement trades. Initially Electricians will be targeted, following on from HMRC's plumbers' campaign, giving an opportunity to another group of tradespeople to come forward and declare unpaid tax. More generally it will include several 100,000 tradespeople in construction and building work such as roofing, window fitting, bricklaying, carpentry and joinery.
- Direct selling/ E-marketplaces. This will target customers who ought to be paying tax on income they earn from buying and selling goods direct to others, or from the commission on these sales. This will include those who are using e-marketplaces to buy and sell goods as a trade or business and who fail to pay the tax owed. People who only sell a few items and who are not traders are unlikely to be liable to tax and will not be targeted by this campaign.
As with previous campaigns, HMRC say that the focus of the new campaigns will be on providing those in the selected groups, who may not be paying the tax they owe, a chance to put their affairs in order on the best possible terms.
Marian Wilson, of HMRC's Risk and Intelligence, said:
"Most people pay their taxes in full and on time, so it is right that HMRC works hard to secure payment from those who have not come forward.
"Using new technology, we have been able to analyse returns to HMRC covering a range of taxes and to cross-reference these with other information to build a picture of where we believe we have taxpayers with missing returns.
"We are offering all the people targeted the opportunity to come forward. Penalties will be higher if we come and find people after the opportunity. A criminal investigation may also result. I therefore urge them to disclose unpaid tax voluntarily."
Information on campaigns for 2012, including how people can work with HMRC to influence their development, can be found at http://www.hmrc.gov.uk/ris/hmrc-campaigns.htm
If you are unfortunate enough to be on the receiving end of one of these campaigns, or have reason to think that you may become the target of one in the future, and would like to discuss your position in confidence please telephone Charles Linaker on 0191 243 6004 (Direct Dial) or e-mail charleslinaker@unw.co.uk
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Dissolution (striking off) of companies
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HMRC plans further “tax cheats” campaigns
New campaigns will be launched by HMRC later this year aimed at missing tax returns; home improvement trades, including plumbers and electricians; and direct selling (including E-marketplaces).
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VAT: Cost Sharing Exemption
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ITR deadline extended to 2 February 2012
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Fending off the taxman
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