Taxing issues

[Nick]

I've received the following today, maybe old news to some but it appears the noose is being tightened:

"Five plumbers have been arrested and around 600 are under civil investigation by HM Revenue & Customs.

Earlier this year HMRC offered an amnesty to tax-evading plumbers and members of related trades. The Plumbers Tax Safe Plan offered them immunity from prosecution penalties limited to 20 per cent if they revealed their previously undeclared income.

But there was a poor response from the self-employed plumbing fraternity, many of whom do not regard HMRC's mailshots as essential reading, and do not employ tax advisers. By the time it closed at the end of May, the amnesty had produced only 600 voluntary disclosures and yielded a paltry GBP330,000 in extra tax receipts.

HM then announced it intended to follow up its offer by prosecuting some of those who had failed to take advantage of it. These arrests, which took place in London, Hampshire, Surrey, Middlesex and West Bromwich, are the first results of this action. More raids will take place soon across the UK, including Yorkshire, Kent, Cambridgeshire, Tyne & Wear, Midlands and South Wales.

HMRC says it is considering hundreds of further cases for criminal investigation. Some of those involved are said to owe as much as GBP150,000 in back tax and penalties.

"People should not underestimate the amount of data that HMRC is holding", commented Gary Ashford of the Chartered Institute of Taxation. He noted that HMRC has already announced plans to increase the number of evasion prosecutions by a factor of five.

As well as plumbers, HMRC's targets include medical professionals who refused to disclose their income under a previous profession-specific amnesty, the Tax Health Plan. A similar amnesty aimed at private tutors and Internet traders will begin soon"

[Brian Gaff]

And has anyone done the sums of the cost of all this against losses? OK so there is a principal at stake, but I'd be willing to bet a fair number of these prosecutions will fail. What about all those want your trees cut back, garden mowed, tarmac drive merchants though?

Brian

[Robin]

Prosecutions will of course be difficult, especially if the plumbers turn out to be Scouser comedians who come before a jury of Scousers. But yes, the cost/yield ratio from the initiative will be monitored and reported: HMRC don't get funds out of the Treasury for such work unless they can show a good return. Bear in mind the big money is in the investigations now under way, some allegedly worth £150,000 each.

And if tax evaders are not pursued what about all those who want hospitals, schools, benefits etc?

[Huge]

A specious argument.

[Grimly Curmudgeon]

First, they came for the Plumbers...

[tim....]

The revenue normally work on the basis that a large percentage of those arrested will "roll over". The prospect of serious jail time if you are convicted means that few will contest the revenues claim.

tim

[Weatherlawyer]

There is no rock that the people in the tax offices will not look under. thin NSA and cut internet pipes around the Middle East just before the illegal oil grab of Bush Minor and Tony The Puppet.

They are in the same league.

[Tim W]

It must be 25 yrs I have had to deal with the Iinland Revenue and all their carelessness, rudeness, heavy handedness, arrogance, threats, intrusiveness.... They never earned any respect from me. And then you find that the money you pay them as an honest tradesman they are giving away to criminals running VAT frauds. Fuck them.

Tim W

[The Medway Handyman]

Indeed. The Daily Mail reader imagines that the building trade earn thousands tax free whilst sitting in the cafe/pub all day.

The average builder, plumber, spread, sparks, handyman might trouser the odd few quid, but generally its peanuts and they work bloody hard to make a decent living.

And to be fair, the self employed get f*ck all back from the state anyway.

Compared to the amount the very rich underpay its not worth the effort.

I should like to state at this point that I declare every single penny earned on my tax return...

[ARWadsworth]

What about any tips?

[Huge]

Don't eat yellow snow.

[Dave Plowman (News)]

Anyone who isn't on PAYE is best using an accountant. Ask around people doing the same sort of job as you for a recommendation. Mine saved me far more than he cost each year. And all I had to do ILR wise was sign the return.

[tim....]

Don't forget all the free tea and biccies

tim

[The Medway Handyman]

I declare every penny mate.

(Dennis might be listening).

[Owain]

Mrs TMH doesn't let him accept gratuities.

At least not the sort you probably get :-)

Owain

[Tim Watts]

Don't you remember TMH doing that job at a local knocking shop?

[ARWadsworth]

And we only heard one side of the story.

[The Medway Handyman]

I gave up sex for religious reasons.

God made me ugly...

[Huge]

*grin* *applause*

[Alan]

In message , The Medway Handyman wrote

Beer: helping ugly people have sex since 3000 b.c. W.C. Fields