HMRC's High Net Worth Unit Rakes In The Cash

By ExpatBriefing.com Editorial 14 September, 2012

HM Revenue and Customs' (HMRC's) High Net Worth Unit (HNWU) has generated GBP500m (USD806m) in extra tax from the UK's wealthiest people since its launch three years ago.

The HNWU was set up in 2009. It was designed to deal with the personal tax affairs of around 5,000 of the UK's wealthiest individuals, targeting those with assets in excess of GBP20m. The unit has 80 staff, who work out of eight locations across the country.

Three years on, the unit has exceeded its collection targets. According to Martin Randall, head of the HNWU, initial estimates had placed the additional tax take at GBP100m a year. In 2009-10, the yield was lower, at GBP83m but rose the following year to GBP162m. In 2011-12, it reached GBP200m. GBP80m has been collected so far in 2012-13.

Randall said: “The tax affairs of the richest people in the country are, by their nature, complex, and that’s why we have focused resources on getting their tax right. The majority of the wealthiest taxpayers play by the rules, paying the right tax at the right time, but we take action against the minority who don’t. This approach has delivered the result we have announced today."

Exchequer Secretary, David Gauke, welcomed the news. He commented: “[The] figures show that HMRC’s High Net Worth Unit is making sure that the country’s wealthiest citizens pay the tax they owe. The government is committed to a fair tax system where those with the most contribute the most. The overwhelming majority of people pay their taxes, so it is absolutely right that HMRC pursues anyone who tries to avoid their responsibility.”

Tags: Individuals | Expatriates | Compliance | Wealth | Tax | Investment | Tax Compliance | United Kingdom | Tax Authority | Tax Planning | HM Revenue And Customs (HMRC) | Revenue Statistics | HM Revenue And Customs (HMRC) | Individual Income Tax |

 





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