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NHS tax avoidance investigated

Major accountancy firms stand accused of helping NHS Trusts in England avoid paying tax, ITV News can reveal. HMRC are to investigate the use of tax avoidance schemes when NHS Trusts pay agency medics in order to escape paying VAT.

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Tax avoidance claims investigation 'a matter of urgency'

Catherine McKinnell MP, Labour’s Shadow Exchequer Secretary to the Treasury, responded to claims that some NHS Trusts have been using tax avoidance schemes.

It's deeply concerning that not only is the corporate world being advised on complex schemes to avoid tax owed, but this activity appears to extend to the public sector too.

The NHS has clear guidance that it should not enter into any schemes the primary purpose of which is to avoid tax, yet these allegations suggest that is exactly what has been taking place.

Treasury ministers should be conducting an investigation into these allegations as a matter of urgency, including whether these type of VAT avoidance schemes are more widespread in the public sector than just the NHS.

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