HMRC 'losing nerve' over tax affairs of multinationals but small businesses are targeted

A Parliamentary report has accused tax authorities of avoiding sanctioning major multinationals while pursuing small businesses and individuals.
HM Revenue and Customs seems to "lose its nerve" when faced with the prospect of taking legal action against global giants, and has fallen short on the unpaid tax it hoped to extract from Swiss bank accounts - collecting just £440 million so far this financial year, rather than the £3.12 billion forecast after a bilateral agreement.
Changes in "controlled foreign company" rules and the failure to close a loophole relating to Eurobonds have made it "easier for the companies to avoid tax while ordinary people continue to pay their share," said the House of Commons Public Accounts Committee chairwoman Margaret Hodge.

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By Correspondent (London Evening Standard), posted on Thursday December 19, 2013
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