|
|
MPs criticise HMRC’s ‘cosy relationships’ with big business
HM Revenue & Customs (HMRC) has been accused of enjoying ‘unduly cosy’
relationships with big businesses, following the revelation that there remains more than
£25 billion worth of unresolved tax issues with major companies.
In a new report, the Public Accounts Committee said it had ‘serious concerns’ about how
some large settlements were reached and singled out Dave Hartnett, permanent
secretary for tax, for his role in negotiations with big firms.
The MPs claim that some big companies have been let off billions of pounds in tax
payments because they were receiving ‘preferential treatment’ from the tax authority.
Margaret Hodge, the former Labour minister who chairs the committee, said: ‘This report
is a damning indictment of HMRC and the way its senior officials handle tax disputes
with large corporations. We uncovered both specific and systemic failures which must be
addressed.’
However, HMRC rejected the committee’s conclusions. ‘The report is based on partial
information, inaccurate opinion and some misunderstanding of facts,’ a spokesman said.
‘Senior HMRC officials sought to be co-operative by providing as much information as
possible within the legal constraints of taxpayer confidentiality.’