Tax avoidance scheme highlighted in newspaper probe

clock

Thousands of rich people in the UK are paying 1% income tax using "below the raider" accounting methods, according to an investigation by The Times.

The paper said the methods cost the country billions of pounds in lost tax revenue. The paper said its investigation began with the exposure of K2, a Jersey-based scheme that shelters £168m a year from the taxman. Comedian Jimmy Carr is understood to be the scheme's largest beneficiary. K2 is one of a number of scheme identified by The Times that it says are "flourishing despot government promises to crack down on the practice". It said individual tax avoidance was a bigger problem that corporate tax planning, which has been highlighted in the media The report added individual t...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Tax Planning

Transact launches flexible reversionary trust ahead of 2027 IHT changes

Transact launches flexible reversionary trust ahead of 2027 IHT changes

Strengthening onshore and offshore bond offering

Isabel Baxter
clock 11 June 2026 • 2 min read
HMRC consults on extending UTT regime 'targeting' wealthy individuals

HMRC consults on extending UTT regime 'targeting' wealthy individuals

To cover stamp duty, National Insurance, IHT and CGT

Isabel Baxter
clock 13 May 2026 • 2 min read
Probate cases taking nearly two years rise by 131%

Probate cases taking nearly two years rise by 131%

Increased risk of interest accruing on IHT

Jaskeet Briah
clock 07 April 2026 • 2 min read