HMRC estimate that its specialist unit dedicated to collecting tax from high net worth individuals raised £416m from its compliance work with this group in 2015-16 according to a report today by the National Audit Office (NAO). This is separate from tax already voluntarily declared by these individuals. As this specialist unit expands HMRC needs to do more to identify the most effective approaches to maximising the tax revenue paid by the very wealthiest people in the UK.
High net worth individuals often have complex tax affairs and they generally have more choice over how they manage their income and assets than the average taxpayer. It can be challenging for HMRC to understand their tax affairs and assess if there are any risks to address. <<read more>>