We knew that Tax Avoidance has become the focus for HMRC. Well, we now know that HMRC has collected in excess of £700m from anti-avoidance work.
Much of this comes from the closure of avoidance schemes having won a few high profile cases but we should not forget the importance of their employment status work which is proving evermore successful. Very often this involves the small and medium sized business enterprises.
Roy Maugham, Tax Partner at UHY Hacker Young, said: "SMEs are being chased for a totally disproportionate amount of unpaid payroll tax, compared to their larger counterparts. But much of the underpaid tax is due to genuine errors. This strongly suggests the Government needs to simplify its systems to help SMEs avoid mistakes. While SMEs will be reluctant or unable to pay for expert advice, they are clearly struggling to navigate the tax system as it stands."
Comment
One of the sessions at the Learn Annual Conference being held in London on 8/9 June will be focussing on the specific subject of the importance of getting employment status correct.
