Careless talk costs tax

Key points * Report recommended investigative work be subject to external scrutiny. * How to manage large numbers of registered paid informers. * Former Customs and Revenue departments' different approaches in handling informers. * Lack of awareness of how to handle informant information. * Is the use of informers acceptable?

DID YOU KNOW that HMRC use and pay regular informants for information? This is not quite Starsky and Hutch (or Life on Mars Dempsey & Makepeace Dangermouse depending on your age) but a recent report on HMRC compiled with the help of the police paints a picture of an unknown side to HMRC compliance activities and how they use informants. The report Handling of Human Intelligence Sources by Denis O'Connor CBE QPM HM Inspector of Constabulary (see www.hmrc.gov.uk/about/hmic-report.pdf) was issued in March 2006 but was only publicly released on...