HMRC is watching you!

HMRC is watching you!
HMRC have developed new software to help them decide if a tax return looks wrong, or if they think someone is not paying enough tax. This new software is known as ‘Connect’.

Connect pools information from varying sources to help create a picture of what someone’s tax affairs should look like.
Information is drawn from the various departments of HMRC (tax returns, employer records, national insurance records, VAT etc) and is combined with information from other government databases such as the Land Registry, Companies House, DVLA, and the electoral roll. It has been rumoured that Connect tracks airport movements so they can see when people travel in and out of the UK.

HMRC have had access to certain bank account information for some time and in recent years they have signed many agreements with other countries to also share this information.

From time to time HMRC will target certain sectors and the suggestion is that they collect information from specific databases to help with this – for example Landlord information cross referenced with Land Registry and council tax data.

There has also been the suggestion that HMRC also track social media sites, such as Facebook and Twitter, to help build up a picture of someone and their tax records!
Tax relief and incentives
Management Accounting

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