Offshore accounts special: AA-TV meets Dave Hartnett

In an interview on Accountancy Age TV, HM Revenue & Customs director general Dave Hartnett says rich and famous will escape being singled out in offshore probe

Written by Kevin Reed

The taxman has denied that tax-evading celebrities and famous sportspeople will be singled out for ‘show trials’ following the offshore disclosure facility.

To see the interview in full, click here.

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In an exclusive interview on Accountancy Age TV, HM Revenue & Customs director general Dave Hartnett said that, contrary to reports, the taxman would look to prosecute tax evaders representing a broad cross section of the public rather than singling out the rich and famous.

‘There have been colourful reports that we’ll target sports personalities, it doesn’t work like that,’ said Hartnett.

‘We need to provide a deterrent for the whole of society and those 400,000 investors represent a microcosm of society. So [HMRC has to] make sure our activities are well known and reach out to every strata of society.’

Over 25,000 disclosures had been filed as Accountancy Age went to press, with HMRC expecting 10,000 a day in the final week.

HMRC sent letters to 200,000 of the 400,000 account holders reminding them of the scheme last week.

‘We’ve been really careful with them, and didn’t want the risk of sending letters where we were slightly unsure of the address,’ said Hartnett.

He denied this would cause a problem in targeting tax evaders. ‘We don’t think [it’s a problem],’ he said.

The taxman is targeting around a quarter of those with offshore accounts, or around 100,000 people.

Responding to criticism from advisers about a deterioration in their relationship with the taxman, Hartnett said: ‘You’ll see us seek more and more conversations with advisers. In particular, I want HMRC to have a better dialogue with tax advisers in the high street.’

Hartnett also rebuked advisers who had been suggesting there was a crackdown underway on buy-to-let landlords: ‘One or two people have made a lot of the landlord issue. We have the same aspirations [as advisers]: to get landlords to pay the right taxes on time.’

And following criticism of the taxman on the Arctic Systems case, he said: ‘Whatever the outcome, we and the tax advisers will have to work together to take things forward.’

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