Chancellor George Osborne has confirmed plans to tighten the net on tax evasion and aggressive tax avoidance, raising £3.1bn for the Treasury.
Osborne said a new Conservative government would seek to make corporate tax systems both simpler and fairer, with measures including new criminal offences for tax evasion and penalties “for those who assist them”.
“Let the message go out this country’s tolerance for those who will not pay their fair share of taxes has come to an end,” Osborne said.
Plans for a new diverted profit tax will come into effect from next month, Osborne said, while the Treasury is also plotting moves to prevent “contrived” loss arrangements to avoid corporation tax.
“We will issue more accelerate payments notices to those who hold out from paying tax that is owed and we will stop employment intermediaries exploiting the tax system to reduce their own costs by clamping down on the agencies and umbrella companies who abuse tax reliefs for travel and subsistence, while we will protect the genuine self-employed,” Osborne added.
“Taken together these measures will all the new measures against tax avoidance and evasion will raise £3.1bn over the forecast period.”