· Tax · @TaxDebtsHelp. Helping individuals & #businesses deal with #money owed to #HMRC . If you are struggling to pay HMRC in full,on time-WE COULD HELP #tax #hmrc · Southport, England.
An employee within HM Revenue & Customs has claimed the UK tax authority is aware of six individuals believed to have committed suicide in connection with a controversial charge, MPs have reported.
A cross-party group of MPs conducting an inquiry into the so-called loan charge said they were told of the allegation by a worker at a campaign group set up to help those affected by the measure. From April, users of past “disguised remuneration” tax avoidance schemes will, in a single year, be charged tax on income they received up to 20 years ago.
Before this week, at least two people who faced the loan charge were known to have taken their own lives.
The new claim prompted the MPs on the loan charge all-party parliamentary group (APPG) to write to Jonathan Thompson, HMRC’s chief executive, asking for “urgent” clarification.
“We have now been informed that there are believed to have been as many as six suicides of people facing the loan charge and we have also been informed that HMRC are aware of this,” the MPs said in the letter, signed by Ed Davey, the group’s chair, and vice-chairs Ruth Cadbury and Ross Thomson. “Can you, as a matter of urgency, respond to us and tell us how many suicides of people facing the loan charge HMRC are aware of.”
The tax avoidance schemes were used by tens of thousands of contractors from the late 1990s including locum doctors, IT contractors, oil and gas workers, and social workers, often on the advice of accountants and recruitment agencies. Affected individuals say the huge tax bills — often of hundreds of thousands of pounds — they now face will lead to mass bankruptcies and family breakdown.
The MPs’ letter added: “The way HMRC have so far failed to acknowledge these suicides or the fact that people facing the loan charge have killed themselves is frankly extraordinary and deeply concerning.
“It suggests a robotic indifference to the catastrophic reality of this policy on individuals and the effect HMRC is having in pursuing people in relation to it. This effect is now clear and we now have the evidence to prove it.”
HMRC said: “We are extremely concerned about the reports of people taking their lives that have been shared online. We’ve reached out to campaigners and individuals for more information, and urge them to provide it so we can look into these cases.
“We urge customers facing the loan charge to contact us as soon as possible, and we have set up a specialist team to provide extra support to vulnerable customers. Anyone who is feeling stressed or anxious should speak to heath care professionals or charities, such as the Samaritans.”
HMRC said it would respond formally to the parliamentary group’s letter and that this would be published on the gov.uk website.
Ministers have said the tax from disguised remuneration schemes was due but that HMRC would show flexibility towards anyone struggling to pay.
The Loan Charge Action Group, a campaign group, offers a support service for people struggling with debts related to the loan charge. Text: “LCAG HELP” to 81025 and a member of its team will call back.
People affected can also contact the Samaritans on 116 123 or www.samaritans.org.
