A taskforce tackling people trying to dodge property tax in the south west and south Wales was launched today by HM Revenue and Customs (HMRC).
The taskforce will target those who have sold one or more properties and haven’t paid Capital Gains Tax or disclosed rental income.
Using intelligence from the Valuation Office Agency to track down the tax cheats, the taskforce is expected to recover £5 million.
HMRC has delivered more than £190 million as a result of taskforces launched since 2011-12. Over £12 million has been recovered as a result of property rentals taskforces operating in London, south east England and Yorkshire, with over 80 cases currently under criminal investigation. Taskforces expect to bring in over £100 million during 2014-15.
HMRC’s Jennie Granger, Director General of Enforcement and Compliance, said:
“HMRC taskforces are deployed in sectors and areas where we’ve detected a high risk of tax evasion. For example, in a previous property taskforce in London in 2013 we uncovered a barrister who had evaded £471,512 in unreturned capital gains.
“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 Capital Gains Tax 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.
“If you haven’t declared all your income, we will find you and investigate.”