Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether his Department has made an assessment of the potential merits of establishing an independent inquiry into the selling of disguised remuneration schemes.

As a result of the action the Government has taken to clamp down on marketed tax avoidance, the estimated tax gap from marketed avoidance sold primarily to individuals, has fallen from an estimated £1.5 billion in 2005-2006 to £0.4 billion in 2020-21.

HM Revenue and Customs (HMRC) continues to implement the actions set out in its 2020 published strategy to disrupt the activities and supply chains of promoters of tax avoidance schemes.

The Government brought in legislation in Finance Act 2021 (FA21) and in Finance Act 2022 (FA22) to enhance HMRC’s ability to tackle promoters and suppliers of tax avoidance schemes and reduce the scope for them to market such schemes.

As announced at Spring Budget 2023, the Government is consulting on two further measures to tackle promoters of tax avoidance, which build on the changes made in FA21 and FA22. These proposals reinforce the Government’s commitment to ensure promoters face tough consequences for their actions.