HMRC Targets VAT Dodgers with Summer Amnesty

Over 40,000 businesses will be contacted through July and August as HM Revenue & Customs (HMRC) ask sole traders and small firms trading above the VAT threshold to register and pay their dues. Known as the VAT Initiative, the latest campaign by HMRC allows businesses to make a voluntary disclosure of their VAT and pay back any tax owed with only a small penalty until 30 September. After this date, HMRC will launch their own investigations into any firms that have not come forward, with full penalties and charges in force. Mike Wells, HMRC director of risk and intelligence, said: “The aim is to make it easy for individuals and businesses to contact us, make a full disclosure of their income and face a reduced penalty.” By law, businesses that turn over £73,000 (the cur... »