Reposted from Evidence UK
This report bears out what I have said time and time again; George Osbornes hatchet job on HMRC compliance staff is a gift to companies (usually large multi million pound turnover companies, who can afford roomfuls of lawyers and accountants who can exploit loopholes in the Taxes Act)and rich individuals who avoid and evade tax.
For every £1 George Osborne has cut the Tax Collecting Staffing Budget by, there has been a £10 increase in the amount of uncollected tax. The Tax Gap, that is to say the amount of uncollected tax in the UK, has climbed £4bn, or £4,000,000,000.00 if you prefer, under George Osborne. The data is part of the HMRC’s official calculations and is published annually. You can see the most recent publication here, for example (click here). Of course, it is reasonable to state that a key way of ensuring any tax collecting agency such as the HMRC performs at its optimum is to make sure the agency is well staffed. Sadly, however, George Osborne has been doing the opposite. The staffing budget for the HMRC has been cut sharply every single year since George Osborne has been Chancellor by a total of £410m+. You can verify this by glancing at page 52 of the HMRC’s own report here (click here).