SEVERAL Welsh businesses have been publicly named by HMRC for deliberately evading taxes. The latest tax defaulters list highlights businesses from across Wales that have intentionally failed to pay more than £25,000 in taxes. HMRC’s move to publish these names is aimed at encouraging compliance and influencing the behaviour of businesses and individuals who fail to meet their obligations.
Among those named is RC Travels Limited, a taxi company based on Goat Mill Road in Dowlais, Merthyr Tydfil. The company, which evaded £115,850 in tax payments between March 2018 and March 2020, was ordered to pay a penalty of £42,574. Despite this, RC Travels is fighting for survival, with its director, Ran Nagra, claiming that the business is still operational despite the tax issues. “The HMRC thing is still going on,” said Mr Nagra. “We are going through it at the moment.” While admitting some mistakes by the company, he was critical of HMRC, stating, “They do what they want.” A winding-up order against the firm was issued in May, but Mr Nagra insists the business is continuing to fight for its future, though he acknowledged the situation has caused some taxi drivers to leave the company.
Another business on the list is Happy House (163) Ltd, a Chinese takeaway that was based at 163 Albany Road, Roath, Cardiff. The company deliberately defaulted on £69,289.86 in taxes between April 2019 and November 2021. HMRC imposed a penalty of £46,770. The takeaway closed in 2021, and a new takeaway, New Happy House, has since opened at number 151 on the same street. According to the new takeaway’s staff, the two businesses are not connected. Happy House (163) Ltd was owned by 43-year-old Xiao Ling Bao, who had a registered address in Newport. In February, liquidators were appointed, with the company owing £57,773 and having just £500 in assets. This included the £46,770 owed to HMRC and £10,000 to Lloyds Bank.
Computer Giantz Limited, based at 36 Stacey Road, Cardiff, also appears on HMRC’s list. The company, which specialises in selling second-hand goods, deliberately defaulted on £35,152 in taxes between January 2022 and March 2023. HMRC imposed a penalty of £16,609. The business, which sells its products in stores and online, reported net liabilities of £39,490 according to its most recent accounts. Its director, 41-year-old Nadeem Amin, has not commented on the situation.
HMRC’s publication of the tax evasion list is part of its strategy to clamp down on those who deliberately underpay taxes. A spokesperson for HMRC said, “The vast majority of businesses pay the taxes that are due, but for those who choose to flout the rules, we will take action. Naming defaulters is an important part of influencing behaviour and ensuring that tax is paid.”
As HMRC continues its crackdown, more businesses are expected to face scrutiny. This latest list sends a clear message: tax evasion will not be tolerated, and those who attempt to avoid their responsibilities will be held accountable.
