David Gauke: 138 direct tax avoidance schemes were disclosed to HMRC from 22( )April 2008 to 21 April 2009 under the Disclosure of Tax Avoidance Schemes (DOTAS) regime. From 22 April 2009 to date, 354 direct tax avoidance schemes have been disclosed. Disclosed direct tax avoidance schemes can include arrangements which are not aimed at income tax avoidance. For example, schemes may aim to avoid capital...
Lord Sassoon: The latest tax gap estimates were published in September 2010 in Measuring Tax Gaps 2010, available on the HM Revenue and Customs (HMRC) website at: http://www.hmrc.gov.uk/stats/measuring-tax-gaps-2010.htm.pdf . This included the following estimates of the tax gap from avoidance in 2008-09: avoidance of income tax, national insurance contributions, capital gains tax, estimated at around £1.4...
Andrea Leadsom: To respond to the hon. Member for Derby North, I completely agree with my hon. Friend the Member for Dover that it is a shame to take an approach of throwing around accusations about progress on tax avoidance, because the past two years have seen a step change in the Department’s approach to tackling avoidance, following the introduction of a number of new tools, including the GAAR. Over 13...
David Gauke: The Emergency Budget set out the Government's intention to build in sustainable defences against avoidance opportunities when undertaking policy reform and by reviewing areas of the tax system in which repeated changes have been necessary to close loopholes. Chapter 2 of Budget document also announced a number of specific measures to counter tax avoidance. Such measures are underpinned by...
David Gauke: The latest avoidance tax gap estimate, for £4.0 billion in 2011-12, was published on 11 October 2013 and can be found at: www.hmrc.gov.uk/statistics/tax-gaps/mtg-2013.pdf Paragraphs 1.18 and 1.19 of Measuring Tax Gaps 2013 set out the challenges in comparing avoidance estimates with similar analysis in previous publications. No recent estimate has been made of the avoidance tax gap in other...
Mel Stride: Tax avoidance deprives the Exchequer of hundreds of millions of pounds a year. Every amount of tax avoided means more tax for other taxpayers to pay, or less funding for our vital public services – our nurses, teachers, doctors, police and many others. Introduced in 2004, the Disclosure of Tax Avoidance Scheme (DOTAS) regime requires those who design and/or promote tax avoidance schemes...
Mel Stride: The government is committed to tackle avoidance, evasion and non-compliance at all levels and has introduced over 100 measures since 2010 which, alongside HMRC compliance work has protected over £200 billion in tax revenue which would have otherwise gone unpaid. Where tax avoidance is suspected HMRC investigates and challenges those arrangements, through litigation if necessary. HMRC wins...
Mr Harold Lever: I am grateful to my hon. and learned Friend, who is always exceedingly indulgent to me. He keeps using the phrases, "tax avoidance" and "aimed at the tax avoider". He is utterly mistaken. The Section is not aimed at tax avoidance or the tax avoider. One does not have to be a tax avoider to come within the provisions of the Section. It is merely a question of tax advantage, which is a totally...
Jesse Norman: Tax avoidance contributes to the overall tax gap estimates HMRC publish. However, HMRC do not make regional estimates of the tax gap related to tax avoidance. As part of the 2020 Measuring the Tax Gap publication, HMRC estimated that £1.7bn of tax liability was unpaid due to tax avoidance in the 2018-19 financial year, reduced from £3.7bn in 2005-06. HMRC are committed to bearing down...
Victoria Atkins: As a result of the action the Government has taken to clamp down on marketed tax avoidance, the estimated tax gap from marketed avoidance sold primarily to individuals, has fallen from an estimated £1.5 billion in 2005-06 to £0.4 billion in 2020-21. HMRC takes a range of approaches to tackle tax avoidance. Regimes, such as the Serial Tax Avoidance Regime (STAR) and General Anti-Abuse Rule...
Dawn Primarolo: The Chancellor announced a package of anti avoidance measures during his Budget speech which tackle the avoidance of UK tax by international tax planning. Measures were announced to prevent the avoidance of capital gains tax by individuals and trusts. Action has also been taken to prevent individuals and companies manipulating the rules that give relief for overseas tax, and to strengthen the...
David Gauke: 'Measuring Tax Gaps 2010', available at: http://www.hmrc.gov.uk/stats/measuring-tax-gaps-2010.htm.pdf contains the most recent estimate of the size of the tax gap as (a) £42 billion, (b) 8.6% of total tax liability. HMRC has a range of tools to detect avoidance. The Disclosure of Tax Avoidance Schemes (DOTAS) regime provides early information about tax avoidance schemes and those who use...
David Gauke: The use of tax havens is one aspect of tax avoidance. To address tax avoidance the Government have set out a strategic approach. This is supported by HMRC's anti-avoidance strategy which puts the emphasis on prevention of avoidance through robust legislation and deterrence, backed up by accurate detection and robust action where avoidance does occur. Specific activities undertaken within...
Lord Sassoon: Measuring Tax Gaps 2010 states that the most recent estimate of the size of the tax gap is £42 billion, or 8.6 per cent of total tax liability (www.hmrc.gov.uk/stats/measuring-tax-gaps.pdf). HM Revenue and Customs (HMRC) has a range of tools to detect avoidance. The disclosure of tax avoidance schemes (DOTAS) regime provides early information about tax avoidance schemes and those who use...
Nigel Huddleston: As a result of the action the Government has taken to clamp down on marketed tax avoidance, the estimated tax gap from marketed avoidance sold primarily to individuals has fallen from an estimated £1.5 billion in 2005-06 to £0.5 billion in 2021-22. The primary purpose of the penalty is to deter UK based entities from acting on behalf of offshore promoters and so make it more difficult for...
David Gauke: The information does not exist in the form requested. The latest tax gap estimates were published in September 2011 in ‘Measuring Tax Gaps 2011’ on HMRC's website at: http://www.hmrc.gov.uk/stats/mtg-2011.pdf This included the following estimates of the tax gap for 2009-10 from avoidance by individuals and companies: Avoidance of income tax, national insurance contributions, capital gains...
David Gauke: The Government are fully committed to tackling tax avoidance and will take necessary steps to protect the Exchequer and maintain fairness in the tax system. The Government published “Tackling Tax Avoidance” at Budget 2011 which outlines a more strategic approach to addressing avoidance by placing the emphasis on preventing avoidance before it occurs. By building in sustainable defences to...
Victoria Atkins: The Government is committed to tackling tax avoidance and evasion to ensure that everyone, no matter who they are, pays the right amount of tax at the right time. Most tax avoidance schemes simply do not work, and those who use them may end up having to pay much more than the tax they tried to avoid, including penalties. As a result of the action the Government has taken to clamp down on tax...
Mel Stride: HMRC’s top priority in dealing with the promoters of tax avoidance schemes is to change their behaviour so that they stop this activity altogether. HMRC uses a range of powers to achieve this, including the Promoters of Tax Avoidance Schemes legislation. As a result of HMRC’s concerted action against them, a number of major promoters have co-operated with HMRC and have either stopped...
[Relevant documents: Thirty-eighth Report from the Committee of Public Accounts, Tax Avoidance: the role of large accountancy firms: a follow-up, HC, 1057; Eighteenth Report from the Committee of Public Accounts, HMRC’s progress in improving tax compliance and preventing tax avoidance, HC 458; Thirty-fourth Report from the Committee of Public Accounts, Session 2013-14, HMRC Tax Collection:...