HMRC has launched a specialist taskforce to target tax evasion on rented properties.
The taskforce covers East Anglia, London, Leeds, York, Leicester, Nottingham, Lincoln, Durham and Sunderland is expected to recover more than £17m.
The property rental team is one of a number of HMRC specialist taskforces undertaking intensive bursts of activity in specific high-risk trade sectors and locations in the UK.
HMRC has launched 12 taskforces in 2011/12 and 30 more will follow in 2012/13.
The teams will visit traders to examine their records and carry out other investigations.
David Gauke, exchequer secretary, says HMRC is on target to collect more than £50m as a result of the taskforces launched in 2011/12.
He says: “We have made it clear that we will not tolerate tax evasion – everyone needs to pay the taxes they owe in full. We are determined to crack down on the minority who choose to break the rules.”
Mike Eland, director-general of enforcement and compliance at HMRC, says deliberately evading tax can land you a heavy fine or even a criminal prosecution as well.
He says: “This is not an empty threat – HMRC can and will track you down if you choose to break the rules.”
The taskforces are being launched as a result of the government’s £917m spending review investment to tackle tax evasion, avoidance and fraud from 2011/12
It aims to raise an additional £7bn each year by 2014/15.