An HM Revenue and Customs’ (HMRC) taskforce found that tens of thousands of puppies have been sold illicitly and their breeders have avoided paying tax by doing so.
Following discussions with animal welfare groups, the taskforce was created in October 2015 and it has recovered nearly £5.4m ($7m, €6.3m).
The fraudsters were selling puppies on a mass scale and for a “huge profit” on the black market, HMRC said.
The watchdog uncovered 257 separate cases during the last three years where puppies had been sold illicitly and without paying tax.
UK-wide issue
Fraudsters were found to be operating all over the country; some of which include:
- two unconnected puppy breeders in the west of Scotland who were handed tax bills of £425,000 and £337,000;
- a breeder in the Midlands who was given a £185,000 bill;
- a dealer in Northern Ireland was told to pay £185,000 in tax;
- a Somerset breeder was given a £114,000 bill;
- a dealer in the east of Scotland was handed a tax bill in excess of £400,000; and,
- a Swansea puppy breeder was given a £110,000 tax bill.
“It is utterly appalling that anyone would want to treat puppies in such an inhumane way and on such a scale,” said Mel Stride, financial secretary to the treasury.
“It’s also deeply unfair to all of the legitimate businesses who do pay the right tax, and the total recovered by the taskforce is equivalent to the annual salaries for more than 200 newly qualified teachers.
“We continue to work hard with other government agencies and our partners to tackle these traders.”
Operation Dolphin
However, this is not an isolated case.
HMRC’s taskforce is also working on ‘Operation Dolphin’, a multi-agency collaboration across the UK and Ireland, to tackle the illegal smuggling of puppies.
The operation is led by the Scottish Society for Prevention of Cruelty to Animals (SSPCA), together with the taxman, the Border Force, the police and other animal charities across the two countries.
“Unfortunately, the puppy trade is big business with thousands of dogs being brought into the country each year, particularly from Northern Ireland and the Republic of Ireland,” said the head of the Scottish SPCA’s special investigations unit.
“It is a multi-million-pound industry and many of these poor dogs are bred on large scale puppy farms with little to no regard for their welfare.
“It’s a barbaric trade which commands huge profit from selling puppies.”
