HMRC to adopt new tax evasion software

Date: 15th June 2011

HM Revenue & Customs (HMRC) is set to adopt new technology to aid its fight against tax evasion, it has been reported.

This could encourage a number of small business owners to seek assistance with their bookkeeping from a specialist tax accountancy service.

HMRC has announced that the innovative new tools will be able to find out information about specified people and companies.

The apps are also able to uncover any anomalies between elements such as bank interest, property income and lifestyle indicators.

A spokesman from HMRC told the Guardian newspaper that the department will search services like Google and eBay to identify traders.
"For example, it will see if Mr Smith's sale of mobile phones is a trade. If, when it looks back into our systems and finds that Mr Smith works at a supermarket and there is no mention of online trading, the compliance staff will contact him," he said.

"It's about catching moonlighters. We want to let these people know that we are on to them."

Posted by Emily Smith