Taxman vows fines over suppliers
HMRC has warned firms that they could face prosecution and fines if they fail to spot tax evasion by their suppliers. Firms are being advised to carry out due diligence on their suppliers and contractors and be aware of their responsibilities under corporate criminal offence legislation as the taxman looks to tackle VAT and contractor tax fraud. Advisers are reporting more use of the powers handed to HMRC two years ago, with the tax office reportedly having several investigations under way.