Question to the HM Treasury:

To ask His Majesty's Government what assessment they have made of the impact of Making Tax Digital, if any, on the tax gap attributable to intentional tax evasion; and what plans they have to implement such a scheme directly to address that issue.

Making Tax Digital (MTD) for Income Tax helps taxpayers pay the right amount of tax. It is expected to generate almost £1 billion in additional tax revenue in 2030–31 by encouraging timely and accurate record keeping and reducing that part of the tax gap caused by taxpayer errors and failure to take reasonable care.

HMRC is committed to closing the tax gap further and tackling other types of non-compliance such as tax evasion, tax avoidance, criminal attacks, hidden economy activity, legal interpretation issues, and non-payment.