Taskforce to engage regional property tax avoidance
11 Sep 2014
HM Revenue and Customs (HMRC) has set up a taskforce to target property tax avoidance in the North West of England and North Wales.
It is estimated that property vendors operating in these regions have avoided £5 million in tax. The taskforce is specifically targeting those who have sold one or more properties without paying Capital Gains Tax (CGT) or declaring rental income.
Similar rental taskforces in London have helped to recover £12 million, with a total of £190 million reclaimed by 70 taskforces countrywide since 2011.
HMRC director general of enforcement and compliance, Jennie Granger, said: ‘The people being targeted by our taskforces have no intention of playing by the rules and could end up facing a heavy fine or even a criminal conviction.
‘A Hertfordshire property consultant who failed to declare or pay CGT and rental income on a number of properties was uncovered by an HMRC taskforce in 2013 and, as well as paying the tax and interest due, now has a criminal record’.
A further 30 taskforces are expected to launch in the coming year.