Tax crackdown on security industry

Tax cheats working in the private security industry are being targeted as part of a wave of taskforces launched today [19 September] by HM Revenue and Customs (HMRC).

The taskforce will focus on security companies and their employees in London and the South East.

Taskforces are specialist teams that undertake intensive bursts of activity in specific high-risk trade sectors and locations in the UK. The teams visit traders to examine their records and carry out other investigations.

HMRC has seen an increased risk of fraudulent VAT repayment claims being submitted from the private security industry and the taskforce is expected to recover £10 million.

On 9 September, HMRC and the Security Industry Authority signed a memorandum of understanding to strengthen the exchange of information between both organisations. As the SIA moves towards introducing licensing for security businesses, this will help prevent, detect and prosecute criminal activity and ensure that everyone pays their fair share of tax.

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. If you have declared all your income, you have nothing to worry about. But, if you haven’t, we will find you, investigate you and not only could you face a heavy fine, but a criminal prosecution as well.”

If you know anyone who is evading their taxes, you can tell HMRC by calling the Tax Evasion Hotline on 0800 788 887.