HMRC Clampdown on Tax Schemes collects £23.9bn

HMRC tax investigations in the last 12 months has resulted in a collection of almost £24bn in unpaid tax, in addition to ordinary tax revenues. The figure is up more than £3bn on the previous year.

The recent publicity around Gary Barlow and other members of Take That highlight the efforts HMRC has put into tackling the issue of tax schemes. Over 18 months ago, HMRC employed around 2,500 extra tax inspectors to assist in the process and the increase in tax collection seems to demonstrate progress for HMRC.

Over 1000 individuals who have used the ‘Icebreaker’ scheme were targeted for hiding an estimated £300m in tax. The scheme was set up to invest in the music industry. However, a judge ruled that the scheme was used to avoid paying tax rather than to generate a return for investors.

MPs have heavily criticised the scheme labelling it ‘morally wrong’, and furthermore, it has also been highlighted that large multinational companies continue to avoid paying tax by using offshore jurisdictions.

What is clear, however, is that HMRC will continue to target individuals that it believes have deliberately and unintentionally avoided paying tax.

If you find yourself under investigation by HMRC you should seek professional advice immediately in an attempt to clarify your position. For more information contact one of our team either through our Enquiry Formor by calling 0113 387 5670.