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HMRC collects £705m through investigations.
HMRC collected £705m in additional tax through investigations into companies’ payroll taxes in 2015-16. Of this, £322m was from small and medium-sized enterprises and £383m from large businesses.
According to law firm Pinsent Masons, HMRC has also targeted the sports and entertainment industry with many Premier League clubs and footballers coming under scrutiny for using offshore companies to pay tax on earnings through image rights in the UK. However, some will relate to errors and simple mistakes arising from the complexity of the employer compliance tax system.
Paul Noble, tax director at Pinsent Masons, said: ‘Payroll tax remains a focus area for HMRC, and it is unlikely that they will take the spotlight off any time soon.’
