HMRC have opened 14 investigations for suspected underpayments of the energy profits levy by oil and gas companies reports Pinsent Masons.
Jake Landman Partner and tax disputes specialist at the firm said: ‘The Energy Profits Levy is an extremely high-profile new tax and HMRC is treating compliance very seriously. Normally when a new tax is introduced HMRC takes a ‘soft launch’ approach to enforcement. But with the levy set to expire in 2030 HMRC is enforcing compliance strictly from the very beginning. HMRC still has time to make enquiries for companies for the first year of the tax so we could still see investigations and extra tax take continue to rise.’
The levy generated £2.6bn in the year to 31 March 2023. HMRC’s investigations have brought in £125m in extra tax since the levy was introduced in 2022 reports the firm.
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
HMRC have opened 14 investigations for suspected underpayments of the energy profits levy by oil and gas companies reports Pinsent Masons.
Jake Landman Partner and tax disputes specialist at the firm said: ‘The Energy Profits Levy is an extremely high-profile new tax and HMRC is treating compliance very seriously. Normally when a new tax is introduced HMRC takes a ‘soft launch’ approach to enforcement. But with the levy set to expire in 2030 HMRC is enforcing compliance strictly from the very beginning. HMRC still has time to make enquiries for companies for the first year of the tax so we could still see investigations and extra tax take continue to rise.’
The levy generated £2.6bn in the year to 31 March 2023. HMRC’s investigations have brought in £125m in extra tax since the levy was introduced in 2022 reports the firm.
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
