Bungled HMRC tax crackdown on 60,000 workers linked to ten SUICIDES to be probed after Reeves steps in
THE taxman is facing a probe over a bungled crackdown on 60,000 workers that has been linked to ten suicides.
Chancellor Rachel Reeves has ordered an inquiry into HMRC‘s Loan Charge fiasco.
MPs earlier this year likened the controversy to becoming the next Post Office Horizon scandal — with it also being linked to suicides, family breakdowns and bankruptcies.
The measure, introduced in the UK in 2016, slaps back tax on people who were paid through “disguised remuneration” schemes — where part of their salary was provided as loans to avoid income tax.
Because the charge applies to loans received dating back to 1999, many people were blindsided by bills for years-old arrangements.
Nurses, teachers, and IT workers were among those hit with backdated tax bills of up to 45 per cent after using systems they thought were legal.
The announcement of a new review came quietly in the post-Budget document.
It said: “The government will commission an independent review of the Loan Charge to help bring the matter to a close for those affected whilst ensuring fairness for all taxpayers.”
The Loan Charge Action Group said it was a “momentous” day but that there was “still a way to go before justice is finally achieved for victims”.
Ms Reeves also revealed in her Budget a package worth more than £13billion for victims of the Post Office and infected blood scandals.