HM Revenue and Customs (HMRC) is slowly narrowing what it calls the 'tax gap' - the amount of tax that goes uncollected each year - but it is still falling some £35bn short, according to the latest figures.
The ‘tax gap' refers to the difference between the amount of tax that should be collected each year in theory, and what is actually collected. Figures released today showed the Treasury missed 7.9% of liabilities, or £35bn, in 2009/10, although this was down slightly from 8.1% in 2008/9. HMRC said the figures were at the lower end of countries which publish their tax gaps. Exchequer secretary, David Gauke MP, said although the figures showed an improvement, "there was no room for complacency". "Just in the last few weeks we have challenged offshore tax evaders, closed tax avoida...
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