You are here: Home - Household Bills - News -

‘Serious’ tax evasion on the decline, says law firm

Written by:
Efforts to stamp out tax evasion appear to be working after figures showed the number of ‘serious' cases hit a five year low.

According to law firm Pinsent Masons, HM Revenue & Customs (HMRC) reported 2,888 suspected cases of tax evasion in 2012-13, down 16% – from 3,456 – on the previous 12 months and the lowest since 2007-8.

HMRC defines tax evasion as “serious” when the sum involved is higher than £50,000 or if the case is considered worthy of prosecution.

Phil Berwick, a partner at the law firm, said:”This decline in suspected tax evasion doesn’t tally with the rhetoric from some quarters that the British economy is being undermined by a chronic under-collection of tax revenues.

“HMRC has plenty of tools at its disposal to catch tax evaders which serves as a huge deterrent to those considering tax evasion.”

HMRC has been granted a raft of new powers in recent years to tackle tax evasion, including increasing the number of tax inspects and giving it the right to impose penalties of up to 200% of the original tax owed if an individual does not declare any income or capital gains that has been hidden from HMRC in an offshore bank account.

Tag Box

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

ISAs: your back-to-basics guide for 2018/19

Here’s everything you need to know to make the most of your unused ISA allowance ahead of the 5 April deadli...

A guide to Sharia savings accounts

A number of Sharia savings products have upped their game in recent months, beating more familiar competitors ...

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week

Read previous post:
Monday newspaper round-up: Vodafone, Rio Tinto, Nationwide…

Vodafone agrees to acquire Germany's largest cable operator; Rio Tinto ditches plans to offload precious gems business; Nationwide to raise...