HMRC demands

According to research by law firm RPC, there has been a six per cent increase in HMRC information demands from professional services firms related to clients suspected of tax evasion. HMRC made 875 information requests in the last tax year compared to 827 requests in 2019/20. RPC said the increase, made by way of production orders which compel advisers to hand over client data, bucks the trend in declining levels of compliance activity by HMRC during the pandemic, as focus has shifted away from the furlough scheme.