Rahman Ravelli assesses the drop in investigations into serious tax fraud and avoidance

With the number of serious tax fraud and avoidance investigations having fallen to its lowest level in years, Rahman Ravelli wrote about the reasons for this.

In this piece, which was published by Solicitors Journal, they outline the scale of the decrease in investigations. They explain this could be partly due to a lack of resources and staff retention problems at HM Revenue and Customs (HMRC).

Rahman Ravelli also say that HMRC puts the fall in numbers down to its emphasis on targeting the ‘highest-harm and highest-value fraud’. They point out that while the number of HMRC serious tax fraud investigations has dropped, they did bring in a record £1.1 billion in tax between 2023 and 2024.

But Rahman Ravelli emphasises that a strategy focusing on a small number of investigations bringing in big rewards will lead to HMRC facing difficult questions if those rewards are not secured. They warn that the chances of resolving at least one huge case each year may be slim and highlights HMRC’s failure to prevent small businesses evading the payment of billions in taxes.

The full article can be read here (subscription required).

Featured at: Solicitors Journal