HMRC Increases Seizures Against Small Business

19th December 2017.

HM Revenue and Customs seized business assets from 1,953 UK firms in 2016 to 2017, an increase of 23 percent since the previous tax year, recent research has shown.

According to new data from alternative finance platform, Funding Options, the tax office has become more aggressive in its pursuit of non-tax paying businesses.

Putting firms at greater risk of closure, HM Revenue and Customs (HMRC)  has seized assets that would have been crucial to the running of any small business, such as vital IT infrastructure or machinery.

This growing trend towards assets seizures suggests a Government crackdown on small business owners who aren’t paying the correct amount of tax.

According to the study, seizing assets are a last resort for the Treasury, as the government mounts pressure on the body to increase the UK’s overall tax take.

Conrad Ford, CEO at Funding Options, acknowledges that assets seizures are “fatal” for small business, but insists they are the worst-case scenario.

“HMRC is cracking down on small businesses with overdue tax bills, and won’t hesitate to use all the powers at its disposal”, he added.

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