Watch this space
The taxman is considering introducing new penalties and sanctions to tackle those operating in the hidden or “black” economy. They include:
- forcing more businesses to register for tax purposes in order to access business services and licenses plus new penalties for compliance failings;
- getting customer data held by money service businesses to help HMRC identify non-compliant customers trading in the hidden economy;
- restricting access to some business services or licences to those businesses registered for tax.
The taxman has issued a consultation document that looks at several ways HMRC could introduce an escalating penalty regime. It also considers new approaches to penalties for inaccurate returns and for employers who fail to make PAYE returns.