HMRC is set to launch an advertising campaign to help recruit 100 additional inspectors for its affluent compliance team. Last September the government announced that the team would hire 100 additional staff and target people with assets of more than £1m, instead of £2.5m as previously announced. Some of the new staff will be recruited from within HMRC.
HMRC said in a press release yesterday: ‘In addition to taxpayers with an annual income of more than £150,000 and wealth of between £2.5m and £20m, the unit will also cover those with wealth in the range £1m to £2.5m.’
By the end of last month the unit had brought in an extra £75m in tax, against a target of £586m by the end of 2015. This was ‘well ahead of expectations’, HMRC said.
The potential ‘customer base’ will increase from 350,000 to around 500,000. The team currently has 200 staff based in 17 teams in six locations across the UK. Its targets include taxpayers who have UK and offshore property portfolios, habitually use avoidance schemes, or have a ‘low effective rate’ of tax. A separate high net worth unit comprises 400 staff in 31 ‘customer teams’.
‘We will recruit from within HMRC and externally and the new team will be fully operational by April and focused on delivering an additional £75m a year,’ said Roger Atkinson, director of the affluent teams.
John Cassidy, tax investigations and disputes resolution partner at PKF, said: ‘Overall, the government’s strategy of investing £917m to help HMRC increase annual tax yields by £7bn appears to be delivering results ahead of schedule, so it’s logical to bolster this area in the short term. Couple that with continued public anger with those who are perceived not be paying their fair share of tax, and this is something of a no brainer.’
He added: ‘Even if this latest investment doesn’t deliver quite the same return as HMRC has achieved so far, supporting the government department that brings in the most money is almost certain to prove a wise choice.’
HMRC is set to launch an advertising campaign to help recruit 100 additional inspectors for its affluent compliance team. Last September the government announced that the team would hire 100 additional staff and target people with assets of more than £1m, instead of £2.5m as previously announced. Some of the new staff will be recruited from within HMRC.
HMRC said in a press release yesterday: ‘In addition to taxpayers with an annual income of more than £150,000 and wealth of between £2.5m and £20m, the unit will also cover those with wealth in the range £1m to £2.5m.’
By the end of last month the unit had brought in an extra £75m in tax, against a target of £586m by the end of 2015. This was ‘well ahead of expectations’, HMRC said.
The potential ‘customer base’ will increase from 350,000 to around 500,000. The team currently has 200 staff based in 17 teams in six locations across the UK. Its targets include taxpayers who have UK and offshore property portfolios, habitually use avoidance schemes, or have a ‘low effective rate’ of tax. A separate high net worth unit comprises 400 staff in 31 ‘customer teams’.
‘We will recruit from within HMRC and externally and the new team will be fully operational by April and focused on delivering an additional £75m a year,’ said Roger Atkinson, director of the affluent teams.
John Cassidy, tax investigations and disputes resolution partner at PKF, said: ‘Overall, the government’s strategy of investing £917m to help HMRC increase annual tax yields by £7bn appears to be delivering results ahead of schedule, so it’s logical to bolster this area in the short term. Couple that with continued public anger with those who are perceived not be paying their fair share of tax, and this is something of a no brainer.’
He added: ‘Even if this latest investment doesn’t deliver quite the same return as HMRC has achieved so far, supporting the government department that brings in the most money is almost certain to prove a wise choice.’
