No Warning! HMRC's New Powers Will Not Give Anyone a Second Chance

Tax evasion is a problem for governments all over the world, and the UK government is no exception. To tackle it, HMRC has introduced various rules and regulations over time — but because of citizens' rights, such as data-protection and privacy laws, the speed at which an individual or business could be investigated for tax evasion was frustratingly slow, and sometimes not financially viable.

To address this, HMRC has been given new powers that allow it to check bank accounts without consent. This means banks can provide your bank account information directly to HMRC without your knowledge or consent.

Technology has made once-impossible things possible. HMRC has developed high-tech software that can check billions of accounts, hunting out and extracting information about individuals who have not filed a tax return. Any suspicious transaction to or from your bank account could be flagged. In short, your finances and lifestyle can be laid out for the taxman in seconds.

With such advances, HMRC has the power to make you pay your taxes automatically, without even notifying you first. Times have changed — it pays to get on top of your financial duties before any allegation is made, or before your account is selected for an official investigation.

Right now, banks notify you before any action, search or change; but once the approvals are in place, HMRC will have the power to act on its own. The choice is yours: be a target, or stay compliant and live without that worry.

Paying your taxes and living a transparent life is the best way out. Rules may be made to be broken — but never forget the consequences. If you would like help keeping your affairs in good order, we are here to help.