The total value added tax (VAT) collected by HM Revenue & Customs (HMRC) over the past decade has reached a record high, a report reveals.
VAT receipts, which now represent 21 per cent of HMRC’s total tax take, just behind income tax (31 per cent) and national insurance contributions (22 per cent), have risen by 60 per cent since 2008/09, from £78 billion to £125 billion last year.
The report, published this week, criticises HMRC for becoming “increasingly reliant on VAT to help fund the government deficit” and expresses concerns that the shift of the tax burden onto consumers often disproportionately affects those on lower incomes.
In 2018, HMRC received £180 billion in income tax receipts and £24 billion in corporation tax receipts. Its total tax take increased to a 30 year high of £594 billion.
At Beavis Morgan, we work with our clients to put processes in place which make it easier to run your business and to maintain effective management of your company’s working capital.
Whether you require assistance in meeting your VAT obligations, or you are looking to save on income tax, capital gains tax, inheritance tax, or all three, there are various legitimate tax planning opportunities available to you. Our tax experts are readily available to guide you through the tax maze and help you with bespoke solutions to ensure that you and your business are as tax efficient as possible.
For more information, please contact you usual Beavis Morgan Partner.