HMRC paid informer £100,000
20 Feb 2008, David Jetuah, AccountancyAge
http://www.accountancyage.com/aa/news/1753589/hmrc-paid-informer-gbp100
The taxman has admitted paying £100,000 to an informer for details of bank accounts in tax haven Liechtenstein.
Sources at the tax authority said this morning they hoped to recoup £100m from the data, which was 'checked out' before the payment was made.
'If we do pay somebody for information we make sure it's good quality before we hand over taxpayers' cash,' the source said.
The UK tax authorities are now understood to be writing to individuals on the list.
The move follows a high-profile assault by the German government on Liechtenstein tax evaders. The German finance ministry paid the same informant several million euros for data on its citizens.
The individual was convicted of fraud in 2004 for stealing sensitive information from his employer the LGT, which is controlled by the principality's royal family.
'There will be many frightened people who thought that Liechtenstein was secure,' one City accountant told The Sunday Times.
Liechtenstein has come under fire after the German authorities called for the alpine tax haven to drop its secrecy rules which shield rich individuals salting away cash from the taxman's gaze.
'HMRC is using the powers given to it by parliament to protect the exchequer from those who seek to hide behind secrecy laws to deprive the UK of tax revenues,' the department told The Guardian.
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Visitor comments
What happens now?
OK they have the info and will write to those concerned but what happens then? After the offshore account disclosures we were promised high profile prosecutions - have you seen any? Are we to assume that there were no high profile (MP's sportsmen, Civil Servants, HMRC employeess) who evaded tax? Hartnett promised action to this site. Or are the names too big? Should an HMRC employee, for instance, be granted the amnesty?
Posted by: Anon , 25 Feb 2008 | 00:00
Handling stolen property
So, the tax man is breaking the law here and in Liechtenstein by handling stolen property? Can we expect to see Dave Hartnett charged with aiding and abetting theft or handling stolen goods, or perhaps with money laundering? His excuse seems to be the oldest in the book - the ends justify the means.
Was this sanctioned by ministers? The last time the Revenue and Customs did something like this (remember Mapley Steps and London City Bond) their boss got fired when Minsiters weren't told. It will be fascinating if the same ministers who don't think that campaign funding rules don't apply to them also sanctioned this.
Posted by: David in London , 26 Feb 2008 | 00:00
Bribery, corruption
Isnt this a form of bribery?, corruption?
This is illegal.
On the other hand didnt the revenue have to deduct tax at source/the individual to pay tax on the income as UK earned income by the informer?
Isnt the revenue breaching its own rules and regs? Money Laundering?
Posted by: Anon , 01 Apr 2008 | 00:00