HMRC Names and Shames Tax Avoidance Scheme Directors

TAX AVOIDANCE bosses have been named for the first time in the latest move by HM Revenue and Customs (HMRC) to crack down on umbrella scheme companies.

HMRC has used new powers to publicly name directors of tax avoidance promoting companies, with customers being warned to leave the firms’ schemes or risk large tax bills.

Adam Fathers is the director of tax avoidance promoter Saxonside Ltd while Stuart John Brooke is behind tax avoidance promoter The Umbrella Agency Ltd.

Naming the directors behind these schemes will alert people to steer clear of any avoidance schemes promoted by other companies with the same directors.

Tax Avoidance Scheme

Mary Aiston, HMRC’s Director of Counter Avoidance, said, “Naming the people behind tax avoidance schemes is a crucial step in helping customers stay clear of current and future schemes they promote.

“Customers who think they’re involved in a tax avoidance scheme, should withdraw from the scheme and contact us for help as soon as possible.”

The Umbrella Agency Ltd and its director have been exposed for the first time today. HMRC has also exposed the director of the previously named promoter Saxonside Ltd, with users of both schemes warned to withdraw or risk large tax bills.

Both schemes’ users enter an employment contract with the promoter and are then paid the National Minimum Wage. Users then receive the remainder of their income disguised in a bid to avoid paying Income Tax and National Insurance.

Latest Step in Crack Down

This latest step in HMRC’s crack down on tax avoidance promoters comes as a stop notice was issued earlier this month. This prevents the promoter from selling their scheme or face penalties of up to £1 million.

A total of 15 companies involved in promoting tax avoidance schemes have been named by HMRC. This is not a complete list of all tax avoidance schemes currently being marketed.

HMRC also provides a range of tools to help steer clear of avoidance schemes, as a part of the Tax Avoidance – Don’t Get Caught Out campaign. These tools include an interactive risk checker, payslip guidance, and case studies demonstrating the risks of becoming involved in a tax avoidance scheme and the warning signs to look out for.

People who believe that they are involved in a tax avoidance scheme are advised to contact HMRC as quickly as possible by calling 03000 534 226. 

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