British crackdown on tax evasion

A fresh crackdown on offshore tax evasion has been launched after Britain’s HM Revenue and Customs said it had received data showing “extensive” use of schemes to hide assets.

HMRC is working with the US and Australia to analyse data showing the use of tax evasion schemes via companies and trusts in territories around the world including Singapore, the British Virgin Islands, the Cayman Islands, and the Cook Islands.

It is understood to be the biggest tranche of information ever received by HMRC about offshore tax evasion and it has so far identified more than 100 people who are benefiting from these tax evasion schemes, with a number of individuals already being investigated.

HMRC has also identified more than 200 British accountants, lawyers, and other professional advisers who advise on setting up these structures who will also be scrutinised.

It is calling on anyone using offshore tax schemes to seek advice to ensure they are not breaking the law, which can result in criminal prosecution, hefty fines, and possible naming and shaming.

George Osborne, the chancellor of the exchequer said: “The message is simple: if you evade tax, we’re coming after you.”