The list comes just before HMRC is granted its power of “accelerated payment” in the Finance Bill later this month, which will allow it to send notices to users of avoidance schemes demanding them to make upfront payments of contentious tax.
The government body said the list is being published to help avoidance scheme users and their advisers prepare for accelerated payments.
It added that it would not issue an accelerated payment notice to anyone without writing to them first.
The exchequer secretary to the Treasury, David Gauke, said: “Most people pay the tax that is due, when it is due, so it is unacceptable that a minority seek to hold on to the tax they should pay by using avoidance schemes.
“Accelerated payments will tackle the small minority of taxpayers who are currently able to put off paying tax, sometimes for several years.
“This will put them on the same footing as the majority of taxpayers who pay their tax up front.”
HMRC’s new powers will allow it to use rulings made in “follower cases”, existing cases which have already been settled, as a basis for forcing the payment of up to 50% of any contentious tax in similar cases, before a hearing has been reached.
Those who believe they have been wrongly charged will then have an opportunity to appeal against rulings after they have made their payments.
Bankrupt
Partner in the tax investigations team at accountancy firm BDO, Dawn Register, said that while some schemes were “dead in the water” because they have already been through the courts, others could be reviewed in light of recent court hearings to understand the merits of continuing their defence.
“A successful appeal not only depends on the merit of the scheme, but how it was implemented and the quality of the paperwork retained,” she said.
“Therefore we would urge individuals and businesses to carefully review engagement letters with scheme providers to understand the implications of continuing to defend appeals.”
Martin Taylor, head of client relations at Rebus Group, a company which provides help to those who may have been mis-sold a complex investment, said many investors have been sold these products unknowingly and will be left on their own with an unpayable tax bill.
“We have seen many companies become insolvent to avoid claims, leaving the investor with the problem,” he said. “It will bankrupt some people.”
“If you receive a notice the best thing you can do is seek professional advice; we have had the busiest period we have ever seen.
“Many people were sold these arrangements as they were approaching retirement and following the repayment of contentious tax they are left in the same position as an 18 year old attempting to get back on the property ladder. This is what people forget when they see reports saying “rich people should pay their tax””.
He said that, despite the difficult position HMRC’s powers will create for many people, it would be difficult for the body to differentiate between those who entered avoidance schemes willingly and those who were mis-sold the products by their advisers.
“Some people have really been left wondering what they have got themselves into.”
