blog header image

Posted : 11 Nov 2020 at 13:05:11
Category: News

Share this article

HMRC reported a 63% increase in payments to whistleblowers for reporting tax evasion in the 2019/2020 tax year, paying £473,000 to informants during the period. 

In the previous tax year HMRC paid £290,250 to informants – around £182,000 less than in 2019/20. 

he figures were published in HMRC’s annual reports and accounts 2019 to 2020. According to auditor BDO, the increase in payments to whistleblowers suggest more people are snitching on those committing tax evasion. 

BDO partner in tax dispute and resolution Dominic Arnold said: “In the past HMRC has said that the majority of people coming forward to provide information do so without expectation of financial reward. However, many believe that a more formal and transparent US style system might incentivise a greater people to come forward and report tax evasion.”

 

HMRC does not report specifically on the additional taxes collected from whistleblower payments. In its reports, HMRC said a range of factors determine the exact amount whistleblowers are awarded, such as the tax recovered, how much estimated revenue loss was prevented and other benefits, such as time saved in working cases.

By contrast the US taxman in 2019 paid over $120million to whistleblowers, at an average of $664,000 per award, while collecting more than $660million of additional taxes. Under the US model, awards of between 15 per cent and 30 per cent of the tax collected can be made. 

SIMILAR NEWS

blog header image
NEWS
LANDLORDS NEED TO BE PREPARED FOR EVERY POSSIBILITY WITH CGT CHANGES – YOUNG

The age-old question posed by all private sector landlords at any one time is often, ‘what do I do next?’ For most, the answer is staring them in the face, and that continues to hold ...

blog header image
NEWS
TIGHTER SELF-EMPLOYED AND AFFORDABILITY RULES HERE ‘FOR SOME TIME’ – HSBC

Tighter self-employed and affordability rules here ‘for some time’ – HSBC Tightened self-employed lending criteria and affordability rules are seen across the mortgage market since ...

blog header image
NEWS
LEE MARLEY OPENS LEEDS OFFICE

Lee Marley Brickwork Ltd has appointed Mike Hampton as commercial director to head up its new regional office in Leeds. Leeds becomes the fourth regional operation of Lee Marley Brickwork (LMB), join ...

blog header image
NEWS
SELF-EMPLOYED TREATED AS ‘SECOND-CLASS’ BY SOME LENDERS, BROKERS SAY

Self-employed workers are being treated like ‘second-class citizens’ by some mortgage lenders, as two-tier systems and punitive criteria leave these applicants severely disadvantaged, brok ...

blog header image
NEWS
RECRUITING PEOPLE FROM OUTSIDE THE UK FROM 1 JANUARY 2021

From 1 January 2021, freedom of movement between the UK and EU will end and the UK will introduce an immigration system that will treat all applicants equally, regardless of where they come from. Anyo ...

blog header image
NEWS
YOU'RE REQUIRED: ALAN SUGAR URGES PUBLIC TO GET BACK TO WORK

Business tycoon Lord Alan Sugar today urged Brits to “put on a suit, put on a dress and get back to work” amid rising calls to kickstart the faltering economy. Speaking to LBC radio, Sugar ...

business-directory Business Directory
smartbusinessdirectory Payroll Services Business Directory
truebusinessdirectory payroll-services Directory
payroll-services Directory