Reviews into the UK’s tax system launched by committee
The Treasury Committee has launched three reviews into the UK’s tax system and how it operates.
Tax avoidance and evasion, the VAT system, and the conduct of tax enquiries and the resolution of tax disputes will be analysed within the reviews, the Committee stated.
As part of the review into tax avoidance and evasion, the Treasury Committee will analyse what progress has been made in reducing the amount of tax lost to avoidance and offshore evasion.
Commenting on the issue of tax avoidance, a spokesperson for HMRC said: ‘Last year alone HMRC secured £8 billion in additional funding for our vital public services by intervening to make sure large businesses play by the rules.
‘In addition, since 2010 we have secured around £2.5 billion from tackling offshore tax dodgers. The UK’s tax gap is down to 6% – its lowest ever, and one of the lowest in the world.’
Meanwhile, the VAT review will examine the ‘root causes’ of the UK’s so-called ‘tax gap’, and will analyse the impact of Brexit on the UK’s VAT system.
Finally, the Treasury Committee will consider whether HMRC’s approach to conducting tax enquiries and resolving tax disputes meets the relevant standards.
Further information on the Committee’s reviews can be found on the Parliament website.