Press Releases

November 2010

Government steps up fight against tax evasion

South-West chartered accountants Milsted Langdon are advising that the government has announced a £900million drive to tackle tax avoidance and evasion over the next four years.

Chief Secretary to the Treasury Danny Alexander told the Liberal Democrat Conference that the government aimed to be raising an additional £7billion per year by 2014-15.

He said tax avoidance and evasion was ‘morally unacceptable’ in the current climate and said that the government would pursue wealthy individuals who did not pay tax with the same rigour as benefit cheats.

There will be a five-fold increase in funding for criminal prosecutions for tax evasion, a dedicated team of investigators to pursue those hiding money abroad, and increased use of private debt collection agencies.

The move was backed by the Chartered Institute of Taxation (CIOT), with tax policy chief John Whiting saying the majority of tax advisers recognised that tax evasion was not a ‘victimless crime’. He added that the CIOT had long called for increased investment into pursuing tax dodgers.