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Tax-dodging club owners to be stripped of profits

Press Release   •   Dec 04, 2015 00:01 GMT

Adult club owners and adult entertainers who don’t pay their taxes are being targeted by a new UK-wide taskforce launched today by HM Revenue and Customs (HMRC).

The rise of the internet has caused a drastic increase in online escort agencies and HMRC estimated in 2010 that the adult entertainment industry could be worth up to £5 billion.

For the first time in this sector, the taskforce will target the traders and entertainers, some of whom earn thousands of pounds a day, working in this industry. Those who continue to operate in the hidden economy and not register with HMRC for VAT, Income Tax and PAYE are being targeted.

Jim Stevenson, Head of HMRC Taskforces, said:

“Large numbers of people working in this industry are paying the tax they owe and they don’t have anything to worry about. The people being targeted by this taskforce have no intention of playing by the rules, and we won’t tolerate this.

“No industry is safe where tax evasion is concerned – we won’t stop tracking people down and taking back what they owe.”

More than 140 taskforces have been launched since 2011 collecting more than £404 million that goes towards funding vital public services. This includes £109 million brought in during the first six months of this financial year.

If you know someone who is dodging tax you can tell HMRC by calling the Customs Hotline on 0800 59 5000.

Notes to editors:

  1. Taskforces bring together various HMRC compliance and enforcement teams for intensive bursts of activity targeted at specific sectors and locations where there is evidence of high risk of tax evasion and fraud. The teams visit businesses to examine their records and carry out other investigations.
  2. Information about how to tell HMRC about undeclared income can be found here:
  3. Follow HMRC Press Office on Twitter @HMRCpressoffice.
  4. HMRC's Flickr channel:

Issued by HM Revenue & Customs Press Office

HM Revenue & Customs (HMRC) is the UK’s tax authority.

HMRC is responsible for making sure that the money is available to fund the UK’s public services and for helping families and individuals with targeted financial support.