Tag Archives: Tax Evasion

Tax Crackdowns on London Lawyers

HMRC

Just last year, tax inspectors in the UK have begun their crackdown on lawyers for tax evasion yielding at an amount of £ 3 million. According to HM Revenue and Customs, the Legal Profession in London is one of the high risk sectors that will undergo intensive scrutiny. These specialists will be visited by inspectors on their premises and go through all records and make the necessary investigations.

According to the HMRC, the effort could raise a total of £19.5 million. Many other industries are being checked for tax evasion cases across the UK such as grocery stores, beauty businesses, restaurants, and motor trades. Experts believed that the immediate crackdown of the HMRC against these possible tax evaders prove that they might have substantial evidence. Normally, the HMRC would have created awareness campaigns and more conservative efforts, but the gravity of the situation might have led them to make bolder decisions.

The crackdowns in the past years reveal that many other industries and professions have numerous professionals who do not pay enough taxes each year. In fact, in 2010, the crackdown on dentists and doctors raised around £10 million based on voluntary disclosures while additional three million has been generated after further analysis. Lawyers, therefore, are now being checked to ensure that those who are expected to follow the law are actually fighting a worthy cause or if they themselves are just lost in translation on their understanding of the law.

Taxation laws are quite stringent in the UK and even so, some professional still are not able to pay their taxes. Nevertheless, the efforts generated by the HMRC prove that there are so many industries that do not comply with the laws pertaining to paying taxes and they still have to pay their dues even if they seem to have gone past the radar in the past.

This article was provided by Allan Barnard, who is a Senior Claims Adviser at www.compensationclaims.co.