To think all tax avoiders should be sought out and punished

[cdtaylornats]

Especially those who cheat on VAT or income tax by paying or accepting cash in hand.

In my opinion, it should be illegal for customers to try to avoid vat by offering [sometimes demanding] to pay cash

I quite agree with the sentiment. However enforcement ?

I am amused that a lot of this discussion seems to assume HMRC are some kind of boy scout movement armed with a smile and nothing else. They already have powers so vast and far-ranging that they could target tax evaders head-on.

If they wanted.

First off, when they find any evidence of tax evasion - either in a business or an individual, they can demand an estimated tax payment. If the subject disagrees, it's up to the subject to disprove the assessment.

If they suspect fraud, they can demand documentation going back to the year dot - none of this "6 years" nonsense. (HINT. If they do, never supply them - apparently being able to do so makes you "more" guilty". BTDTGTTS).

But none of these powers mean a jot, when the head of HMRC goes on business lunches with companies under investigation, and returns telling his subordinates he's "sorted it all out" and there's no tax to pay (looks at Vodafone, inter alia).

Why don't people understand the difference between tax evasion which is illegal (such as not declaring income) and tax avoidance which is legal and up to the government to close down the loophole.

Yes enforcement, lurking! No idea how that would work....
It's more a state of mind isn't, perfectly ok for a customer to ask for a cheaper price for cash (nudge nudge vat what's that?) But if you "forget" to declare everything on your VAT return, then it's fines at the very least.
In France it is against the law (as in a criminal offense) to offer cash to avoid tax, and people are "denounced" quite regularly. There are also examples of spot searches at builders merchants of people who look like they are traders, they then have to provide proof that they are either using the materials at home or on a legitimate job.
Mind you, in France, the rate of TVA on approved building work is 5%, so it actually pays to employ a legitimate craftsman.

People would be less agitated about tax evasion/avoidance if they felt there was a level playing field for everyone. I would love to negotiate with HMRC on the amount of tax I actually pay but I am not Google.

Also if there wasn't so much tax revenue squandered by the government there would be less resentment about paying!

Rant over for the day!

I really wouldn't want to use the French as an example of tax efficiency

There are a myriad - legitimate - reasons why a cash transaction might be cheaper than a non-cash one for the same job. Going back in the day, when guaranteed cheques were capped at £100 (and I can remember when they were capped at £50) there was a risk taking a cheque for £101, so it made good sense to make the bill £100 if it could be paid cash. Tax would still be paid though. Even in the 21st century, bank charges mean that transactions under £x might be preferred/insisted on in cash.

To drift into deeper waters, I would humbly suggest that tax is a function of society. Now I'm struggling to remember, but I have a vague feeling that it's pretty much official Tory party policy that "there is no such thing as society" (although they love the word). Given that it shouldn't come as a surprise to see Tories avoiding tax (at least they are being principled about it), even if it is a bit of a slap in the face to those of us (put hand up) who do believe in society.

French tax system efficient? Think my French friends would disagree!
No one likes paying tax, everyone is perfectly within their legal rights to make sure they pay as little as they can by claiming all their allowances and legitimate expenses. However, surely we all agree that for society to work we should all pay our fair share.
Where it all goes wrong and where it pisses everyone off is when those with the most pay the least at the same time they are pontificating about benefit scroungers, the lazy poor,and all being in it together.

Evasion is a criminal offence
Avoidance is playing the tax system but without committing a criminal offence.
Planning is arranging your affairs to keep you tax bill down.
Rest assured HMRC are always keen to tackle evasion and unlawful avoidance. It's bloody hard to do though. And sometimes the lines are unclear.