Extension of HMRC information powers
ICAS has submitted comments on HMRC's new information powers.
Read the ICAS submission in full
HMRC is set to obtain new information gathering powers to help tackle the hidden economy. The new powers will see an extension of the current FA 2013 ‘Merchant Acquirers’ rules, which allow HMRC to make bulk data requests for information on business transactions carried out using debit and credit cards.
Many businesses trade using on-line booking and advertising websites, or app stores. The new powers will permit HMRC to request information from such ‘business intermediaries’, who facilitate on-line trading. The information obtained will then be compared with other sources of data available to HMRC and with returns from traders, to identify unregistered traders and traders who may be under-declaring their income.
ICAS has commented on the proposals, which are in line with the focus called for in ICAS’ Statement on Tax Avoidance and Tax Evasion issued in May 2015.