9th Report - Tax evasion in the retail sector
Select Committee
Public Accounts Committee
HC 355
12 February 2025
Government response
Treasury minutes: Government response to the Committee of Public Accounts on the Ninth report from Session 2024-25 · published 6 May 2025
Recommendations & Conclusions
1 results
7
Conclusion
Rejected
HMRC's tax gap estimates remain uncertain and not broken down by industrial sector.
Conclusion
HMRC told us that the tax gap measure is its best estimate with the data available to it. It acknowledged that its estimates for behaviours, including evasion, are uncertain.10 HMRC explained that it revises its estimates in subsequent years, for …
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Government Response Summary
The government states it agrees with the committee but explicitly reiterates that it does not set specific targets for the tax gap by sector, directly contradicting the committee's observation regarding HMRC's long-standing position on this issue.
HM Treasury
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