HMRC chase SME's for VAT

 Treasury collects VAT windfall

HMRC has raised an additional £3.3bn over the past year by cracking down on SMEs which have underpaid their VAT. The tax investigation insurance specialist PfP, which produced the report, said the figures related to work undertaken by two newly created teams at HMRC - the individuals and small business compliance unit and the wealthy and mid-sized business compliance unit. Kevin Igoe, a managing partner of PfP, commented: “The figure will be driven by a combination of carelessness, genuine error or misunderstanding, as well as deliberate and calculated underpayment. While the vast majority of SMEs are compliant, the actions of a rogue few mean that HMRC is likely to look closely at the tax affairs of all over the coming months.”

Independent I (03/04/2017)