The requested information cannot be disclosed as to do so would undermine the measures introduced by HM Revenue and Customs to counter missing trader intra-community fraud and as such prejudice the assessment and collection of tax.
The HMRC Annual Report 2005-06 provided the total amount recovered or frozen in action against persons and companies involved in MTIC fraud, copies of which are available in the House Library.
The HMRC Report 2004-05 did not contain this information and it could be obtained only at disproportionate cost.
HM Revenue and Customs does not collate the information requested and would incur disproportionate costs in doing so.
Each case of verification is treated on its own merits, the time taken to reach a decision being that required to fully establish the veracity of the claim. However, if at any time during the verification HM Revenue and Customs identifies that part or the entire claim is unconnected to MTIC fraud and is otherwise valid, HM Revenue and Customs will make prompt repayment of the amount.
The UK courts have, to date, supported HMRC’s policy.