HMRC sees falling yields from investigations into individuals and SMEs – crackdown from Revenue expected

HMRC is seeing falling yields from its investigations into individuals and SMEs and as a result, may ramp up activity in order to maintain the returns made through investigations. Investigations into individuals and SMEs yielded £15 for every £1 spent on investigatory staff last year, down 17% from the £18 yielded for every £1 spent… Continue reading HMRC sees falling yields from investigations into individuals and SMEs – crackdown from Revenue expected

The majority of online self-assessment tax returns are submitted by accountants- and for good reason

The majority of taxpayers choose their accountant to file their tax returns. Research revealed that 65% of taxpayers instructed an accountant when dealing with online tax returns. This highlights the vital role that accountants continue to play in guiding clients through the complexities of the system. As many taxpayers will realise, filing tax returns is… Continue reading The majority of online self-assessment tax returns are submitted by accountants- and for good reason

Will a crackdown on work expenses follow on from HMRC’s probe into employees’ use of the tax relief?

Concerns have been raised that the recent HMRC probe into tax refunds for work expenses such as travel, laundering uniforms and professional subscriptions could result in a full crackdown by the Revenue. HMRC’s consultation into work expenses was launched after the cost of the tax relief rose by a quarter in five years to £800m.… Continue reading Will a crackdown on work expenses follow on from HMRC’s probe into employees’ use of the tax relief?

HMRC collected extra £3.3bn in unpaid VAT from SMEs- with more investigations likely to follow

HMRC has collected an extra £3.3bn in unpaid VAT over the last year, following investigations into SMEs. Such successful returns from these enquiries means more are likely to follow, and business owners should ensure that tax affairs are in order as a result. The extra tax was collected by two newly created specialist HMRC teams-… Continue reading HMRC collected extra £3.3bn in unpaid VAT from SMEs- with more investigations likely to follow

HMRC’s investment in tax investigations continues to yield healthy returns

HMRC has seen a strong return on its investment in tax investigations over the last year, with spend on its teams targeting ultra-wealthy individuals, large businesses, SMEs and ‘everyday’ taxpayers yielding very healthy amounts. HMRC now has a number of specialist units, which focus their investigatory work on particular groups of taxpayers, in order to… Continue reading HMRC’s investment in tax investigations continues to yield healthy returns

HMRC collects extra £3.5bn from SMEs for underpayment of VAT

VAT investigations raise nearly half of local compliance tax revenue SMEs to come under even greater pressure as HMRC employs specialist taskforces for tax investigations HMRC has raised an additional £3.5bn in the last year through inquiries into the under-payment of VAT by small businesses. Additional VAT revenue accounted for almost half (45%) of the… Continue reading HMRC collects extra £3.5bn from SMEs for underpayment of VAT