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HMRC whistle-blower payments soar

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23rd Jun 2015
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The amount of money paid to informants by HMRC has jumped by more than 50% to a record high of £605,000, according to research by law firm RPC.

As the pressure on HMRC to hunt down tax evaders increases, the Revenue is increasingly rewarding tip-offs in an attempt to recoup the billions lost annually to tax fraud. Tax tipsters can use the HMRC’s secure website or tax evasion hotline.

RPC’s research shows that the pay outs have increased sharply from £402,000 in 2013-14. According to Adam Craggs, tax partner at RPC, “the sharp rise in payments was likely due to greater public awareness of the pursuit of tax evaders”.

HMRC does not publicise its payments – but according to a spokesperson, most whistle-blowers receive no reward. “The majority of people who provide information to us do so without any expectation of a financial reward. Cash rewards are discretionary and based on what is brought in as a direct result of the information provided.

HMRC was unable to put an exact figure on how much tax was collected via informants, but said staff chased down £23.9bn in additional revenue above what taxpayers initially declared they owed last year.

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By Carl London
23rd Jun 2015 23:03

Taxable?
So are these payments tax free?!

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