Paradise leak piles renewed pressure on HMRC

MPs have raised fresh questions about HM Revenue & Customs (HMRC)’s ability to cope with an ever growing workload.
The tax authority is under pressure to investigate the fallout of last year’s Paradise Papers scandal, with calls for a report to be presented to the House of Commons by March.
But Parliament’s Public Accounts Committee (PAC) is doubtful whether officials have adequate resources to give the issue – which came to light following an investigation by The Guardian newspaper – proper attention.
Members note that HMRC is already grappling with Brexit preparations and is overseeing around 15 programmes across government.
Meg Hillier, the committee’s chair, warned that the organisation was engaged in a “high-wire act” and could ultimately suffer because of the difficulties of dealing with so many major priorities.
The Labour backbencher, who represents the constituency of Hackney South and Shoreditch, said: “HMRC accepts something has to give and it now faces difficult decisions on how best to use its limited resources – decisions that must give full consideration to the needs of all taxpayers.
“These are serious, pressing challenges for HMRC, requiring swift and coordinated action in government.”
Outlining how it intends to deal with current challenges, a HMRC spokesperson said: “Following the Paradise Papers data leak, HMRC continues to look very closely at the information disclosed in the public domain, to see if it reveals anything new that could add to existing leads and investigations.
“Since 2010, HMRC has secured an extra £160 billion by tackling tax avoidance, evasion and non-compliance, including £2.8 billion from customers who tried to hide money abroad to avoid paying what they owe.”

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