New figures from HMRC have revealed that the tax authority brought in a total of £605.8 billion in the year to April 2018.
This 5.4 per cent increase in the Revenue’s tax collection over the previous year includes:
£186 billion in Income Tax (2016/17 £173 billion)
£130.5 billion in National Insurance Contributions (2016/17 £122.5 billion)
£128.6 billion in VAT (2016/17 £124.4 billion)
£53.3 billion in Corporation Tax (2016/17 £51.1 billion).
The latest data was revealed in HMRC’s annual report and accounts, which shows that compliance yield went up over the year by £1.4 billion to £30.3
Of the areas of taxation covered in the report, only Capital Gains Tax saw a decrease – falling by 7.1 per cent. This was primarily the result of the
reduction in the tax rate from 18 per cent to 10 per cent for non-higher rate taxpayers.
“Every year, through our compliance work, we collect or protect billions of pounds that would have otherwise been lost to the UK through fraud, tax
avoidance, evasion and non-compliance,” a HMRC spokesperson said.
“We’ve strengthened our grip on those who deliberately cheat the system and continue to pursue those who refuse to pay what they owe, applying civil
and criminal sanctions as appropriate to this dishonest minority.”
Looking at its investigation and tax cases, HMRC recorded a 90 per cent success rate in tax prosecutions, which along with the 78 per cent of successful
outcomes for appeals heard in the tribunals and courts, accounted for £37 billion worth of tax being collected.
Looking at its crackdown on offshore evasion, the report said: “Last year, over 140 individuals were the subject of criminal investigation for offences
associated with offshore tax evasion, including four arrests and a further six interviews under caution relating solely to the Panama Papers.
“Since 2010, we’ve brought in more than £2.8 billion from domestic and global initiatives to tackle offshore tax evaders. Since June 2012, 26 individuals
have been successfully prosecuted, resulting in over 100 years of custodial sentences and 12 years of suspended sentences.”
The report also includes information on HMRC’s digital activities. It reports that the number of taxpayers using digital tax accounts grew throughout
the year and that ahead of the introduction of Making Tax Digital for VAT, there are currently around 15 million individuals using personal tax
accounts and three million businesses using business tax accounts.