CRIMINAL TAX INVESTIGATIONS
Criminal Tax Investigations – Tax Evasion
HMRC used to have a dim view of tax evasion, but now it is increasingly likely that any accusation of such as practice will result in an investigation and criminal tax investigations proceedings.
These investigations must be taken extremely seriously, as they could lead to the arrest and business and personal assets being frozen. The penalties of such accusations, meanwhile, vary from fines to custodial prison sentences of varying lengths, depending on whether HMRC considers the tax evasion to be deliberate and wilful, and how cooperative the individual chooses to be during the investigation.
For the avoidance of doubt, the following actions will be considered grounds for criminal tax investigations and prosecution of tax evasion.
- Wilful misrepresentation of Tax or VAT Returns (including the declaration of income tax)
- Deliberate neglect to file Tax or VAT Returns in a timely manner
- The use of forged or incorrect documentation
- Any form of deception or the concealing of data
- Failing to disclose any information requested during an investigation
- Laundering of funds
- Assisting any others in an attempt to evade tax (this also includes any legal representatives or accountancy firms, which is why it is essential to always seek help and advice from a reputable body)
- Structuring Business under shell companies and offshore structures will come under criminal tax investigations and money laundering.
Criminal investigations
HMRC has always taken a dim view of tax evasion, but now it is increasingly likely that any accusation of such as practice will result in an investigation
specialist investigation
If you should receive a letter from HMRC’s Specialist Investigations division, you should take this very seriously indeed and seek professional advice immediately.
proceeds of crime act
Proceeds of Crime Act relates to Revenue Functions. The purpose is to permit the confiscation of any financial or material gain from the committing of a crime
code of practice 8
COP8 investigations can be slightly confusing. HMRC’s fraud investigation act under this code, may not relate to criminal accusations of fraud
code of practice 9
Any investigations that are instigated under Code of Practice 9 will result in a criminal accusation and must be taken extremely seriously.