TaxCorporate TaxHMRC spends quarter of budget on enforcement

HMRC spends quarter of budget on enforcement

Taxman to spend £1bn to try and reduce tax evasion by £2.4bn

HM Revenue and Customs will spend £1bn on enforcement and compliance this
year to reduce tax evasion by £2.4bn,
The
Times
has repoted.

This represents one-quarter of HMRC’s entire £4bn budget. Under pressure to
increase the tax take, the Revenue is directing its efforts at areas it
perceives will offer the greatest return.

Last year HMRC adopted a strategy of taking more people to court to recover
tax rather than cut deals in out-of-court settlements, but this has proved
expensive.

Blick Rothenburg partner Toby Ryland says that taxpayers should expect more
inquiries, challenges and general scrutiny of their affairs, even when their
actions are on the right side of the law.

The HMRC figures are the first time that Revenue has broken down its
spending. A further 21 per cent of its £4 billion budget will be spent on IT,
and 18 per cent on personal tax.

Related Articles

Watch out when winding up

Corporate Tax Watch out when winding up

1m Emma Rawson, ATT Technical Officer
HMRC large business tax enquiry duration rises to 3 years

Corporate Tax HMRC large business tax enquiry duration rises to 3 years

4m Emma Smith, Managing Editor
‘Google tax’ nets HMRC £281m

Corporate Tax ‘Google tax’ nets HMRC £281m

8m Emma Smith, Managing Editor
OTS report: Corporation tax should follow accounts

Corporate Tax OTS report: Corporation tax should follow accounts

10m Alia Shoaib, Reporter
HMRC tax evasion assistance requests double in five years

Corporate Tax HMRC tax evasion assistance requests double in five years

11m Emma Smith, Managing Editor
Spring Budget 2017: Making Tax Digital

Business Regulation Spring Budget 2017: Making Tax Digital

1y Shereen Ali, Deputy Editor
Tax fraud loses HMRC £16bn

Corporate Tax Tax fraud loses HMRC £16bn

1y Emma Smith, Managing Editor
HMRC nets £2.6bn in corporate tax from big businesses

Corporate Tax HMRC nets £2.6bn in corporate tax from big businesses

1y Accountancy Age editorial