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27 Jan 2012
PAYING a builder or cleaner in cash will result in deeper government cuts to public services, the country's top taxman has warned.
Dave Hartnett, permanent secretary for tax at HM Revenue & Customs (HMRC), told the Daily Telegraph that those who contribute to the cash economy cannot then complain about austerity measures.
"Tax provides the funding to run the country: hospitals, schools and everything else," Hartnett said. "Every time someone pays cash in order not to pay VAT, the nation gets diddled."
Hartnett called on people who suspect wrongdoing to telephone HMRC's whistle-blower hotline and tip off inspectors.
"Cash has been a problem for a long time. The people who are worried about it should use our whistle-blowing line to tell us. We are getting better and better at finding people who receive cash," Hartnett said.
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Visitor comments Add your comment
Really?
Doing sweetheart deals with Vodaphone is probably diddling the country more?!
Posted by: Martin Axon, 27 Jan 2012 | 11:24
diddling the country
I know this is going to result in this comment appearing on 2 big screens a la QI but:
Isn't that a bit rich coming from HMRC?
Posted by: Nic Dodds, 27 Jan 2012 | 11:41
Ironic
How many such cash-in-hand deals would it take to cost the Treasury as much as Mr Hartnett's informal settlement with Vodafone, estimated to have sacrificed at least £6 billion? (See "Private Eye" passim).
Posted by: Tom Welsh, 27 Jan 2012 | 11:41
HRMC HARTNET
What a load of rot. The mps con the country out out billions and give it to suspect causes/ countries/ the Olympics. I bet he fiddles his tax as well. Tax the giant con
Posted by: Billy the fish, 27 Jan 2012 | 11:42
hartnettsanass
Rich coming from the man who is happy to do sweet deals for Goldman vodafone and others.
Posted by: rankin, 27 Jan 2012 | 11:43
What?
Yes, cash in hand is diddling..but if you get say £100 cash for a Job, as a brickie for a m8 on the side and don't declare it...is that worse than the Millions of £ the HMRC has written off, to BIG Corporations, who Bank Abroad, and evade Tax?....
Once again, the powers that be...hunt down the ordinary man in the street..and let the Fat Cats get away with it!
When are we going to have a revolution in this Country?.... Do they put something in the water to make us all totally subservient to these HMRC Creeps?
Posted by: Simon Falla, 27 Jan 2012 | 11:47
What about Vodafone, Goldman Sachs?
What about the HMRC's deals with large corporates like Vodafone (supposedly £6bn unpaid) and Goldman Sachs (£10mil unpaid)? I think that's where his focus should be. Tosser.
Posted by: Matt Deegan, 27 Jan 2012 | 11:55
Breathtaking Dave
He's right; I'm sure we lose much more money this way than giving millions to our mates at Vodafone and Goldman Sachs.
This guy's front is breathtaking.
Posted by: Tom Trainer, 27 Jan 2012 | 12:47
Silence is golden
When will Harnett realise that it would be better if he kept quiet until his retirement?
Comments such as these are bound to lead to comparisons with the Goldman Sachs scandal. Whilst payments in cash can facilitate evasion, his comments give the impression that all self employed traders are crooks
Posted by: Chicken Farmer, 27 Jan 2012 | 14:32
Hartnett and Cash
There seems to be a presumption if traders are paid in cash it is not declared.
Typical HMRC naivety and lack of understanding of the commercial world.
Posted by: Chris Madge, 27 Jan 2012 | 14:37
Unbelievable
Not at all like letting a bunch of businessman off a genuine tax liability after they've wined and dined you then. How many cash in hand deals would equate to Vodafone kick back?
Posted by: Kev, 28 Jan 2012 | 15:43
dave hartnert
I think Mr Hartnett should look at his own actions and contribution to tax evasion before lecturing us
Posted by: Kevin Baker, 28 Jan 2012 | 19:26
whistle blown
I've got one for you - name of Hartnett, oh, you haven't updated your web page. Bye Dave. You people begger belief.
Posted by: Gedda, 29 Jan 2012 | 09:30
Really Mr Harnett?
How much unknown (and therefore estimated) 'cash in hand' do you think there is in the UK in comparison to the many billions of pounds hived offshore every year IN FULL KNOWLEDGE of HMRC? Do tell Mr Hartnett.
Maybe you will change your tune if I take you to dinner a few times this year, and put you up in a posh hotel?
Posted by: AF, 29 Jan 2012 | 15:45