Under the regime, participants in tax avoidance schemes now have to pay disputed tax upfront while their affairs are being investigated, instead of waiting until the investigations have concluded.
HMRC director general for enforcement and compliance Jennie Granger said: “Accelerated Payments continue to turn the tables on individuals looking to avoid paying their fair share of tax. Those who take part in tax avoidance now have to pay upfront and dispute later. It really is time to get out of avoidance – HMRC wins the vast majority of cases that people litigate, with many more settling before litigation.”
HMRC said as it wins 80% of cases that end up in court, tax avoiders are penalised rather than allowed to enjoy any financial advantage they would have previously had.
David Gauke, financial secretary to the Treasury, added: “We will not tolerate tax avoidance and Accelerated Payments has been a real game-changer.
“It should be absolutely clear to anyone who is tempted by these schemes that tax-avoidance does not pay.”
HMRC said it is now issuing more than 3,000 Accelerated Payments Notices each month, and has issued more than 41,000 since they were introduced.
By the end of 2016, HMRC expects to have completed issuing notices, bringing forward over £5bn in payments for the Exchequer by March 2020.
