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HMRC unveils 30 taskforces over two years

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24th Feb 2012
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HMRC has announced 30 taskforces to crackdown on tax avoidance and tax evasion over the next two years. Likely targets for tax inspectors include the clothing industry, the motor trade and markets.

HMRC said it expected to collect more than £50m as a result of 12 taskforces launched in 2011/12 – and with 13 criminal investigations under way, this figure is expected to rise. 

Exchequer secretary to the Treasury, David Gauke, said in a statement: “The government is committed to tackling tax evasion and avoidance. HMRC’s taskforces are cracking down on people who choose to break the rules and creating a level playing field for the majority who play by them.” 

Taskforces are aimed at specific business sectors in specific locations where HMRC has evidence of tax evasion. Other tactics to tackle evasion and avoidance include tax amnesties and criminal and civil prosecutions.    

The taskforces target sectors at the highest risk of tax evasion, typically focusing on groups of up to around 600 businesses, the ICAEW said. More details on the 2012/13 taskforces will be announced later this year.

Much of HMRC’s announcement is an update on existing taskforces as the ICAEW notes. A dozen of the taskforces were announced in 2011, targeting sectors including restaurants and fast food, scrap metal, and property.  

HMRC said that taskforces only target people who are at high risk of breaking the rules and don’t pay the tax they owe. It said: “We know we’re going after the right people – some taskforces have hit rates of 100% so far.” 

The taskforces were created following the government’s £917m spending review investment to tackle tax evasion, avoidance and fraud from 2011/12. It aims to raise an additional £7bn each year by 2014/15.

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By dstickl
24th Feb 2012 15:38

Interesting: Will David Gauke MP be "Courageous, Minister"?

Interesting:   Does David Gauke MP intend to "courageously" [recalling the famous phrase from the "Yes, Minister" TV programmes] attack HMG's alleged IR35 misbehaviour at and from the top, following the AWEB report: Exchequer secretary to the Treasury, David Gauke, said in a statement: “The government is committed to tackling tax evasion and avoidance. HMRC’s taskforces are cracking down on people who choose to break the rules and creating a level playing field for the majority who play by them.” 

 

Surely it would be far simpler for David Gauke MP - who's apparently the Coalition Minister i/c IR35 in HMG - in the March 2012 Budget, to replace the words of "by 5%" in ITEPA 2003 Part 2 Chapter 8 Section 54 (1) Step 1 with the following: "by a monetary amount that is the greater of either (a) the VAT registration threshold for a worker who did not work for a period of at least three hundred and sixty six calendar days after the date his or her previous contract for service ended or (b) five per cent for all other workers."

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By dstickl
26th Feb 2012 18:07

IR35 etc: Will HMRC crack down on alleged "treasury solicitors"?

Will any of the HMRC's 30 taskforces be investigating the full suite of workers in the treasury solicitors outfit? 

Shouldn't the treasury solicitors outfit be, be audited to be, and be seen to be by Parliament's Select Committees, etcetera, of "Persil" grade in their conduct?

The reason that I ask the above Qs is because, allegedly regarding IR35 and its associated service companies etcetera, I seem to recall picking up somewhere an allegation that - rightly or wrongly - perhaps QUOTE even the treasury solicitors, of all peope, were operating in such a manner ENDQUOTE.  Surely such an allegation should be seen as a top priority for investigation and quality assurance of conduct and behaviours at - and from - the top of the civil service?

IF "misconduct in public office" is to be deterred or to be prosecuted by the CPS, THEN shouldn't there be certainty of detection of misconduct at and from the top of HMG?

In particular, IF HMRC are to be trusted with policing IR35 as the legislation is currently set out (in ITEPA 2003 Part 2 Chapter 8 Section 54 (1) Step 1 etc), THEN HMRC taskforces should start at and from the top of HMG, shouldn't it/they?  Especially in the light of ALL the reports called for by Danny Alexander, following the SLC revelations on BBC TV's Newsnight programme!!

 

Is this the legacy of the former head of the civil service and Cabinet Secretary Gus O'Donnell (aka "GOD" allegedly) who moved into ennobled retirement an/or to sit in the House of Lords:  

That it's now left to private citizens (e.g. like myself, who are professionally educated and intelligently informed worker "victims" of the "Fiscal Horror" of IR35) to suggest a practical revision to the IR35 implementing legislation statutes - as set out elsewhere on AWEB recently - in order to restrict the scope of IR35 legislation, so that IR35 might be seen (by the House of Commons and British citizens) to be consistently policed by HMRC resources such as are available, in accordance with British principles of "good governance" and the "rule of law"?

 

[BTW I'm currently researching material for a "Risk Management in an Accountability Vacuum" project: IF you have any relevant material / evidence / thoughts, THEN please let me know via PM on AWEB. Thank you in advance for your help!]

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By Trevor Scott
27th Feb 2012 22:57

Moira Stewart had better watch out ...

...if it is true that HMRC will crack down on tax avoidance.

The idea that some task forces have "hit rates" of 100% should worry ministers and be a matter for thorough review and urgent action.

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