To report her for tax evasion?

[hooveringhamabeads]

I know of someone who is making around £1k a week, but hardly declares any of her income (she doesn't pay any tax at all so declaring less that £10k of it). She also claims tax credits.

I don't particularly like this person and am tempted to report her. Problem is, pretty much all the money she receives is in cash, so is there any way that the HMRC would actually be able to prove or disprove what she's earning?

[mounyaandyiolanda]

Did they go to HMRC directly?

[PersianCatLady]

Ta1kinPeece & mounyaandyiolanda
Thank you, I will mention this to the person who has all the information.

[Ta1kinPeece]

Persiancat
If you know his name (and the variants of it he's likely to use), the information is in the public domain here
beta.companieshouse.gov.uk/
Put in the name, click the "officers" box and then off you go.

I use the site regularly to check people out.
Its not perfect (as CH do not notice people adding initials to unlink their companies)
but it will be enough to set HMRC on his tail

[PersianCatLady]

Companies House shows all of the companies he has used and the frequency with which they are set up.

[Ta1kinPeece]

persian
in that case, just send his name and a couple of the company numbers to the tax evasion link.
If he has been doing as he brags, he's up for a very nasty couple of months.
If you believe that moun is a tax inspector which I do you could even send them a PM of one of the company numbers

[mounyaandyiolanda]

Haha no PMs please!! I am not on MN as a tax inspector and you need to follow the proper channels.

If he is evading tax then there are provisions under s29 TMA 70 to go back further than a s9a can do.

[MiraiDevant]

The government recorded a budget surplus last month for the first time since 2002 as more money came in from self-employed tax receipts.
July saw a surplus of £0.2bn, compared with last year's deficit of £0.3bn.

www.bbc.co.uk/news/business-41010705

Today's news. You see it does matter.

[mounyaandyiolanda]

Also depending on behaviour of person under enquiry, HMRC can go back 4, 6 or 20 years

[Ta1kinPeece]

mirai
July figures are always better than normal.
If they can make a surplus in August then I'll be impressed.

mounyaan
I've watched a 20 year check. Not fun at all.

[BakedBeans47]

I would report her. If she's dodging tax she deserves to be caught. No one would be "destroying" her except herself.

[mounyaandyiolanda]

ta1kn

No they're absolutely not.

[ChangeElectricSupplier1]

The problem with being self employed is that you have to complete a self assessment tax form

I read in the news recently that one council thought they had say 100 landlords in their borough, but they found they had several times that amount. This meant that a lot of tax was not being paid. I believe that council has now started a yearly license for all landlords. However, I dont think that this will stop some people from paying the tax that they owe or for applying for the license.

Similarly, you can drive a car with no tax or insurance. It doesnt mean that it is right, but people do

If people do not pay their tax, it is unfair on everyone else that pays tax.

However getting people to pay all their taxes... in the future a microchip in your arm at birth ?

I think that there will always people who dont pay all their taxes. How do they sleep at night ?

I sleep very well

[Potterhead113]

Most of the people on here who think YABU probably tax evade themselves.
It is selfish and immoral especially seeing as most of the people who do it use some kind of public service that is run on taxes. YANBU to report her.

[HexagonsOptional]

Most of the people on here who think YABU probably tax evade themselves.

I most certainly don't. Public sector and have always paid my taxes.

I just hate HMRC.

[Permanentlyexhausted]

TronaldDumpy
Ha ha "anonymous letters can be traced". Rubbish. That's why they are anonymous. Do you really think HMRC has the time/inclination/methodology/finance etc etc etc to try and trace??

Ha ha indeed! It seems your grasp of accurate facts is about as good as that of your namesake!

Firstly, anonymous letters can, in many cases, be traced.
Secondly, of course HMRC would not be tracing the anonymous letter. Why the fuck would they?
Thirdly, sending an anonymous letter threatening to report someone could be considered blackmail or harassment and could be a police matter. It is they, or the recipient, who might feel inclined to try to trace it.

[Lifechallenges]

I've always been on PAYE in private and Public sector. My choice of career etc
However I know tons of people who work for cash in hand and they seriously do not declare it all - school staff who babysit for pupils every week, or run extra sports clubs, odd job men, cleaners, gardeners, sports coaches - list is endless but all acccepr cash payments lol the time . Its so easy that I think .. why not, everyone else is'

[Lovelymess]

Of course you should report her. It's against the law. I can't believe the amount of people telling you to mind your own business

[vixsyn]

"family and neighbours spying and reporting on one another.I think a few pounds in tax revenue does not justify an Orwellian society:"

Try 34bn pounds.

More than eight times the amount "benefit fraud" costs the nations, according to the government's figures.

[vixsyn]

I meant *nation

[trannywhitherwax]

Slightly saddened at the majority reaction of MYOB. I'd just report her. Since when has tax evasion been okay?

[coddiwomple]

Threatening someone to report to the relevant authorities for their illegal activities is in no way shape or form blackmail or harassment. At worst it's a warning, it's not a threat to announce you will be doing something perfectly legal. It's a bit daft, just report and get on with your life.

Not sure if "NOT" reporting an illegal activity, meaning becoming an accomplice, is legal in this country.

[DiscoDiva70]

How do HMRC decide whether to go back only 6 or 20 years?

[DiscoDiva70]

Sorry I've just read that mounyaandyiolanda has mentioned people's behaviour 're going back 20 years.

[Ta1kinPeece]

Disco
The rules (from my side as an accountant trying to get around HMRC) are -
Standard enquiries can only go back 6 years 11 months to cover errors and omissions.
If during that there is any evidence of deliberate concealment / fraud / criminality, they can go back 20 years.

There are also rules against "fishing trip" enquiries, but as HMRC are theoretically all one organisation now, tax investigations tend to be more integrated.

[DiscoDiva70]

Thanks Ta 1kinPeece

The person I know who is working cash in hand has been falsifying invoices (and wrongly claiming tax credits) so there's definite fraud been going on.