Three months after HMRC refused to confirm whether it used contractors who used a disguised remuneration scheme, it has been revealed that they did.
This revelation did not come from HMRC, but from the former HMRC contractors who admitted that whilst they were working for the organization, they did use such schemes.
The contractors, who are facing penalties from HMRC as a result of their use of the schemes, are just a few of the 50,000 facing such charges.
One contractor agreed to comment provided he was given anonymity. He said that he is facing a penalty of almost £140,000 although the nature of his engagement with HMRC was not made clear.
HMRC has estimated that it will gain £800 million from such penalties.
A spokesperson from HMRC told the Financial Times that the estimate is implied because while the loan charge will yield £3.2 billion in total, three-quarters of it will come directly from employers.
HMRC has been accused by the Loan Charge Action Group of issuing “deliberately misleading statements” to journalists. The piece the group were complaining about appeared in the Guardian which carried a statement from an HMRC spokesperson saying: “Since the formation of HMRC’s fraud investigation service on 1 April 2016, more than 15 individuals have been convicted for offences relating to arrangements which have been promoted and marketed as tax avoidance schemes and sentenced to over 95 years custodial.”
However, according to the Loan Charge Action Group: “It turns out that none of these cases are about promoters promoting loan-based arrangements, meaning HMRC have deliberately and cynically misled journalists.”