HMRC investigations into VAT avoidance by the UK’s largest businesses have resulted in record extra tax income over the past year, says the law firm Pinsent Masons, adding that says that investigations by HMRC’s large business service into VAT arrangements netted a total of £1.44bn in 2012/13, a 18% increase on the £1.23bn yielded in the previous year, and more than treble the £443m from 2009/10.
A spokesman from HMRC told Tax Journal: ‘These results reflect the excellent work that HMRC’s tax teams are doing to ensure large businesses comply with their VAT obligations. We monitor and review the risk of all large businesses to target our resource on high risk issues, where there is greatest compliance risk from customer behaviour, threats to tax regimes or size and complexity. We do this extremely effectively, bringing in £23bn additional revenues from large businesses since 2010 alone.’
HMRC investigations into VAT avoidance by the UK’s largest businesses have resulted in record extra tax income over the past year, says the law firm Pinsent Masons, adding that says that investigations by HMRC’s large business service into VAT arrangements netted a total of £1.44bn in 2012/13, a 18% increase on the £1.23bn yielded in the previous year, and more than treble the £443m from 2009/10.
A spokesman from HMRC told Tax Journal: ‘These results reflect the excellent work that HMRC’s tax teams are doing to ensure large businesses comply with their VAT obligations. We monitor and review the risk of all large businesses to target our resource on high risk issues, where there is greatest compliance risk from customer behaviour, threats to tax regimes or size and complexity. We do this extremely effectively, bringing in £23bn additional revenues from large businesses since 2010 alone.’
