HMRC Pays ВЈ400k to Informants

Figures obtained by The Telegraph has highlighted that more than 250 people a day are informing HMRC about people they suspect of avoiding tax.

It is believed that there has been an increase in the number of informants over the last two years, with a record £402,160 paid out to people calling HMRC’s hotline as part of its ‘rewards scheme’. Informants are entitled to a payment of between £50 and £1000 for providing details of assets, bank accounts and income that hasn’t been declared to HMRC.

The majority of suspected tax evaders reported by informants are believed to be ex-partners, former colleagues and neighbours. HMRC investigates every call lodged with its hotline, which was established in 2006, but only a small number were rewarded with payments. The figures state that there were a total of 97, 036 people who called the tax avoidance hotline last year.

With the tax gap reported to be £34bn, HMRC is appealing to people to step forward and out those who are suspected of avoiding paying tax. A freedom of information request revealed that the amount that HMRC has paid out in ‘rewards’ has increased by 30% in three years.

HMRC continues to develop new strategies to target those suspected of tax avoidance. Recent initiatives such as Accelerated Payment Notices (APNs) continue to close the net.

If you suspect that a disgruntled ex-partner, colleague or neighbour may consider taking revenge by contacting HMRC, you should seek expert advice from a tax investigations professional.

One thing for sure is that HMRC continues to come down hard on those it suspects of tax avoidance, whether deliberate or accidental.

We can assist in clarifying your tax position to HMRC and in making a voluntary tax disclosure.

For more information in complete confidence from our tax investigations and disclosures professionals you can call us on 0113 387 5670 or fill out an Enquiry Form and we’ll get back to you.