Paymaster general Dawn Primarolo said: ‘The new statutory offence will be just one in a package of measures aimed at cracking down on the informal economy.
Our message is simple – get the confidential advice and help offered by the Inland Revenue to help join the legitimate world of work, or face the consequences in six months time.’
The new offence may be tried either summarily in the magistrates’ court or on indictment in the Crown court (and in the appropriate courts in Scotland and Northern Ireland).
On summary conviction the penalty is up to six months in prison or a fine of up to £5,000, or both. On indictment the penalty is up to seven years in prison or an unlimited fine, or both.
Report argues that the government must change the way it makes tax and budget decisions
Drastically fewer offices for HMRC in the hope to reduce their running costs
Tayabali Tomlin and d&t directors launch £20 a month TaxGo service, aiming to be the 'biggest UK firm' by client numbers
Companies must report on their complex financial structures including offshore accounts and notify HMRC