Tax evasion (FOI)

Request

A

In 2018, how many people, whether prosecuted or not, were found to have deliberately committed tax evasion?

B

Is there a website or hotline to report tax evasion similar to the one to report benefit fraud?

C

If the answer to b is 'no' then why not?

Response

A

In 2018, the tax administration delivered £6.8 million in additional revenues from approximately 200 compliance cases. Additionally, around 200 islanders paid £1.65 million through the Voluntary Disclosure Scheme which offered an opportunity for taxpayers to regularise their tax affairs before new (civil) penalties were introduced for incorrect tax returns.

Information is not available about Revenue Officers’ opinions of taxpayers’ reasons for the under-declarations of income which gave rise to these additional revenues. This information is therefore exempt under Article 10(1) of the Freedom of Information (Jersey) Law 2011 as it is not held.

The Revenue Administration Law (2019) introduced new penalties which more transparently consider taxpayer behaviour, taking into account both careless and deliberate behaviours.

It is the policy of Revenue Jersey normally to settle cases using civil powers and penalties (rather than criminal prosecutions which are expensive and currently difficult to use). Work to consider criminal prosecutions with the Law Officers’ Department has identified that some of the criminal provisions in the Income Tax Law 1961 are no longer effective. The Treasury Minister lodged the draft Taxes Amendment Law on 18 May 2021 which will remedy this position.

Further information regarding Revenue Jersey’s compliance strategy is available in the following link:

Tax compliance (gov.je)

B

Revenue Jersey currently receives around 100 pieces of information yearly from Islanders concerned about potential tax evasion. Islanders wishing to provide information about such matters can do so via post to PO Box 56, St Helier, Jersey JE4 8PF, by email to jerseytax@gov.je or by telephoning the tax switchboard [01534] 440300.

Islanders wishing to make Voluntary Disclosures with regards to their own tax affairs can do so either through the website portal, or by calling the Voluntary Disclosure line [01534] 440004.

Make a voluntary tax disclosure (gov.je)

C

Revenue Jersey does not currently consider a direct line to report tax evasion is necessary but keeps the matter under review.

Article applied

Article 10 - Obligation of scheduled public authority to confirm or deny holding information

(1) Subject to paragraph (2), if –

(a) a person makes a request for information to a scheduled public authority; and

(b) the authority does not hold the information,

it must inform the applicant accordingly.