An expansion of a HMRC team targeting tax evasion by wealthy people has been broadly welcomed, but some experts fear the crackdown on tax dodgers is muddled and not radical enough.
Douglas Alexander, the chief secretary to the Treasury, said earlier this week that an extra 100 inspectors and specialists will be recruited to scrutinise the tax affairs of the 500,000 wealthiest people in the country.
HMRC’s “Affluent Unit”, set up in October 2011, will target people worth £1m, instead of the current threshold of £2.5m.
Another part of HMRC, called the “High Net Worth Unit”, focuses on the UK’s richest people with assets of more than £20m. The unit has collected £500m in extra tax since its creation in 2009, exceeding expectations, HMRC said.
About Nick Huber
I’m a specialist business journalist and have a particular interest in tax and technology.