HMRC urges customers to leave tax avoidance scheme
Individuals using a tax avoidance scheme provided by Peak PAYE Ltd are being urged to withdraw from it and to contact HMRC as soon as possible.
This latest exposing of a tax avoidance scheme promoter comes after HMRC recently used new powers for the first time as part of its ‘Don’t Get Caught Out’ campaign.
The named tax avoidance promoter is Peak PAYE Ltd, of 86-90 Paul Street, London, EC2A 4NE.
The scheme works by paying contractors the National Minimum Wage, and then paying the remainder of the contractors’ wage disguised as a financial option or as a salary advance. The promoter promised its users that this way they can avoid paying National Insurance and Income Tax.
Mary Aiston, Director of Counter Avoidance, HMRC, said: “Tax avoidance schemes are advertised as clever ways to pay less tax when in reality, they rarely work as the promoters promise, and it is the users that end up with big tax bills.
“Naming tax avoidance promoters is one of the many steps we are taking to disrupt and drive scheme promoters out of business. We want to help ensure customers do not get caught out by tax avoidance.”
HMRC has now published the details of three tax avoidance schemes and their promoters and will continue to add to this list in the coming months. It said: “This is not a complete list of all tax avoidance schemes currently being marketed or a complete list of all promoters, enablers, and suppliers. HMRC recommends steering clear of all avoidance schemes.”