HMRC has advised employers planning to take on more staff for the Olympic Games that they risk hiring workers who are in the UK illegally or are earning below the national minimum wage. "This could result in enquiries by HMRC and costs for the business, damaged reputation and even prosecution," HMRC said.
HMRC is asking employers to check labour suppliers to ensure, where possible, that gangmasters are paying VAT and other taxes.
Marie-Claire Uhart, Director of Specialist Investigations, said: "HMRC has found problems with fraud and unpaid taxes in the labour provider field and this might increase as companies employ more casual labour for the Games."
Businesses can avoid involvement in fraudulent supply chains by being alert and asking the right questions, she added.
Use of labour providers: Advice on due diligence is available on the HMRC website.
HMRC has advised employers planning to take on more staff for the Olympic Games that they risk hiring workers who are in the UK illegally or are earning below the national minimum wage. "This could result in enquiries by HMRC and costs for the business, damaged reputation and even prosecution," HMRC said.
HMRC is asking employers to check labour suppliers to ensure, where possible, that gangmasters are paying VAT and other taxes.
Marie-Claire Uhart, Director of Specialist Investigations, said: "HMRC has found problems with fraud and unpaid taxes in the labour provider field and this might increase as companies employ more casual labour for the Games."
Businesses can avoid involvement in fraudulent supply chains by being alert and asking the right questions, she added.
Use of labour providers: Advice on due diligence is available on the HMRC website.