HC Deb 13 February 2002 vol 380 cc367-8W
Mr. Clappison

To ask the Chancellor of the Exchequer, pursuant to the answer of 31 January 2002,Official Report, column 515W, how many of the 28 prosecutions for tax credit fraud concerned tax credits obtained to the value of(a) less than £1,000, (b) £1,000 to £4,999, (c) £5,000 to £9,999 and (d) more than £10,000; and if he will give the same breakdown for the seven prosecutions which resulted in a custodial sentence. [35256]

Dawn Primarolo

The information is as follows:

Prosecutions:

  1. (a) less than £1,000—nil
  2. (b) £1,000 to £4,999—20
  3. (c) £5,000 to £9,999—5
  4. (d) more than £10,000—3

Custodial sentences:

  1. (a) less than £1,000—nil
  2. (b) £1,000 to £4,999—2
  3. (c) £5,000 to £9,999—2
  4. (d) more than £10,000—3.

Mr. Clappison

To ask the Chancellor of the Exchequer what proportion of applications for tax credits have been identified as high risk for fraud or noncompliance by the Inland Revenue since the inception of tax credits; and how many of the applications so identified turn out to be fraudulent or non-compliant. [32643]

Dawn Primarolo

[holding answer 5 February 2002]: Since the introduction in October 1999 of working families tax credit (WFTC) and disabled person's tax credit (DPTC), 60,614 applications were identified as being appropriate for further investigation up to December 2001. This equates to around 1 per cent. of the total number of applications received for tax credits during the same period. From this number, 9,665 investigations proved instances of fraudulent/non-compliant activity.

Mr. Clappison

To ask the Chancellor of the Exchequer how much compensation has been(a) paid and (b) ordered to be paid as a result of the prosecutions for working families tax credit fraud. [35165]

Dawn Primarolo

Three compensation orders have been made by the courts, totalling £6,020. There has also been one confiscation order, to the value of £100,000.

Mr. Clappison

To ask the Chancellor of the Exchequer what arrangements are in place for the mutual exchange of relevant information with overseas authorities regarding tax credit fraud. [35173]

Dawn Primarolo

The United Kingdom has a number of agreements with overseas authorities allowing the exchange of information relating to tax or social security matters. Where relevant, such information can be used to combat tax credit fraud.

Mr. Clappison

To ask the Chancellor of the Exchequer, pursuant to the answer of 31 January 2002,Official Report, column 515W, how many of the seven custodial sentences were for (a) less than six months,(b) six to 12 months and (c) more than 12 months; and what the length of the longest custodial sentence was. [35255]

Dawn Primarolo

Of the seven custodial sentences:(a) three were for less than six months; (b) there were none between six and 12 months; and (c) the remaining four sentences were for over 12 months. The longest sentence was for two and a half years.

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