The construction industry, security guards and bouncers, second-hand motor traders and people living beyond their means are the latest targets of HM Revenue & Customs (HMRC) Task Force activity.
The latest Task Forces have been announced today and will be launched in the following geographical areas:
- Construction industry – London. HMRC expects to raise £3 million from this sector.
- Security guards, bouncers and their employers – London and the South East. HMRC has seen an increased risk of fraudulent VAT repayment claims in this business sector and expects to collect £10 million.
- Second-hand motor traders – Midlands. £3 million is the anticipated yield from this task force.
- Hidden wealth/’means’ issues – Midlands. HMRC expects to deliver £3 million from comparing people’s lifestyles to known assets, in what is likely to be highly contentious task force activity.
Jennie Granger, HMRC’s Director General of Enforcement and Compliance, said:
‘HMRC task forces are deployed in sectors and areas where we’ve detected a high risk of tax evasion. If you have declared all your income, you have nothing to worry about. But, if you haven’t, we will find you, investigate you and not only could you face a heavy fine, but a criminal investigation as well.’
David Gauke, Exchequer Secretary to the Treasury, said:
‘We are determined to support hardworking people who want to get on, but the people being targeted by these task forces have no intention of playing by the rules. This Government has made it clear that we will not tolerate tax evasion and we have provided HMRC with the resources to crack down on those who break the rules.’
HMRC has collected more than £90 million since task forces were launched in May 2011. A further £90 million per year is expected over the next three years.
A copy of the HMRC press release can be viewed here http://abytx.co/1eTMaJj
Author: Guy Smith, Senior Tax Consultant on the ReSource Tax and VAT Consultancy Team.