Hedge fund managers in taxman's sights
Inland Revenue special compliance officers are investigating the possibility of tax evasion by hedge fund managers that could potentially run to millions of pounds, reports the Daily Telegraph.
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Some of Britains highest earners operate in the hedge fund industry, which has grown to a $500bn (£315bn) business with over 6,000 funds.
Crispin Odey, of Odey Asset Management, believes it is a case of the Revenue desperate to claw some cash back. He is reported as saying that the government is keen to maximise tax income and that hedge fund tax is one target.
Stephen Camm, director of tax investigation at PricewaterhouseCoopers, said he would be surprised if there was not at least a dozen managers under investigation.
The Revenue is reported to have confirmed the investigation.