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Less income from company investigations

Press reports to indicate that the amount of corporation tax collected by HMRC through its tax investigations into the largest businesses has fallen to its lowest level since 2006/07.  HMRC’s large business service collected an extra £3.17 billion in corporation tax in 2012/13 an 8% drop from £3.44 billion the year before – and a 25% drop on 2010/11.

One suggestion is that lower taxes lead to lower levels of tax evasion and avoidance activity and hence a lower tax investigation yield.



Date: 25th September, 2013
Author: Cathy Corns


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