HM Revenue and Customs HMRC has cracked down on foreigners living and working in the United Kingdom, but use the loopholes in the tax system, to reduce their income tax liabilities.
The HMRC has recovered £102million in the 2006/2007 financial year, which is almost 80 per cent more than the previous year.
Our view
Given the Chancellor´s proposal in his pre budget report on 9 October 2007, attacking non-UK domiciles resident in the UK who pay little or no taxes, by withdrawing allowances and forcing those who have been living in the UK to pay taxes on income not received in the UK or pay a flat £30,000 tax charge, we see the clampdown as becoming even stronger.
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