New tax checks will apply for licence applications by taxi drivers and scrap metal dealers from 4 April 2022, as HMRC targets sectors it considers high risk, under the new powers introduced in FA 2021 Sch 33.
HMRC’s published list of ‘deliberate tax defaulters’ includes a number of taxi drivers and scrap metal merchants, suggesting those who have underpaid tax or who fail to complete the tax check will find their livelihoods under threat when the new powers come into force.
According to accountancy firm UHY Hacker Young, the new system is expected to prevent £270m of tax evasion over the next five years.
Phil Kinzett-Evans, partner at the firm said: ‘HMRC has collected a whole host of new powers over the last decade but the power to threaten people’s jobs is one of the most fearsome. This is a major new step in how HMRC enforces tax compliance. Stopping people being able to work is a step that the tax authority should not take lightly.’
New tax checks will apply for licence applications by taxi drivers and scrap metal dealers from 4 April 2022, as HMRC targets sectors it considers high risk, under the new powers introduced in FA 2021 Sch 33.
HMRC’s published list of ‘deliberate tax defaulters’ includes a number of taxi drivers and scrap metal merchants, suggesting those who have underpaid tax or who fail to complete the tax check will find their livelihoods under threat when the new powers come into force.
According to accountancy firm UHY Hacker Young, the new system is expected to prevent £270m of tax evasion over the next five years.
Phil Kinzett-Evans, partner at the firm said: ‘HMRC has collected a whole host of new powers over the last decade but the power to threaten people’s jobs is one of the most fearsome. This is a major new step in how HMRC enforces tax compliance. Stopping people being able to work is a step that the tax authority should not take lightly.’
