The Government remains committed to a competitive tax system with lower rates and high allowances delivering lower taxes for businesses and individuals. But the tax system also needs to be fair. The Government will therefore continue to address imbalances in the system where some individuals and businesses benefit disproportionately from certain rules - and will also continue to tackle avoidance, evasion, non-compliance and tax planning.
I am pleased that the Government will introduce a new criminal offence that removes the need to prove intent for the most serious cases of failing to declare offshore income and gains. In addition to this, the Government will increase civil penalties for deliberate offshore tax evasion. New penalties were recently announced to enhance the General Anti-Abuse Rule, with action taken on disguised remuneration schemes and stamp duty avoidance.
Alongside the measures above targeting individuals who avoid tax, the Government is cracking down on all forms of tax evasion and avoidance, and aggressive tax planning and non-compliance. There should be a level playing field for the majority who pay their tax, and everyone should make their contribution. I am pleased that during the last Parliament, HMRC secured £100 billion in additional tax revenue.
I would like to assure you that the Government is committed to tackling tax avoidance and evasion at all levels to ensure everyone pays the right tax at the right time. Avoidance (and evasion) damages the effectiveness of the tax system and imposes additional costs on all taxpayers.
July 5th 2016
