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Investigations

One adviser’s tale of helping a wayward driving instructor with outstanding liabilities

No understatement: H and I Newell (t/a Tanya’s Takeaway) (TC3120)

Sanderson v CRC, Upper Tribunal (Tax and Chancery Chamber)

The taxman’s powers to withhold repayments

M Lewis (TC3102)

Employers who do not pay their workers the national minimum wage (NMW) will face a greatly increased penalty under stricter regulations expected within the next few weeks.

Non-compliant firms currently face a sanction of all unpaid wages and a fine calculated as 50% of the total underpayment for all employees affected to a maximum of £5,000, which is reduced half if the unpaid wages are settled within 14 days.

The new regime will increase the penalty to 100% of the unpaid wages, with the cap rising to £20,000.

UK taxpayers with hidden assets in the Cayman Islands face scrutiny by HMRC over evasion, tax investigations experts have warned.

The Revenue is issuing letters to encourage people it believes hold bank accounts in the British overseas territory to disclose undeclared income and capital gains.

Sean Wakeman, tax investigations partner at Crowe Clark Whitehill, said,“Account holders are warned that if no response is received within 30 days, a detailed inquiry will be launched that could lead to a criminal investigation.

Advice is given on the powers of HMRC to extend an informal enquiry into a company’s affairs to the personal tax returns of a director

Dr J Kohal (TC2870)

How Orwell’s classic novel foreshadowed HMRC’s current behaviour

Lack of formal records is not always fatal to a claim for tax-free mileage allowance

E Behague (TC2983)

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