Tax dodgers will be named and shamed

From April 1st, businesses and individuals that have been caught tax dodging can be publically named on the HM Revenue & Customs (HMRC) website.

Those who have avoided paying over £25,000 in taxes will feature on the blacklist, but not "until all appeal avenues against the additional tax and penalties are exhausted", HMRC has said.

Since the list will only feature those who evade tax after April 1st, it is not expected any names will appear on the website until 2011.

Anyone who has not paid the tax is advised to come forward to HMRC straight away if they wish to try to prevent their name appearing.

Stephen Timms, financial secretary to the Treasury, said: "This new approach should make people think again about trying to get away with tax fraud."

However, Debt Management Today reports that the blacklisting may push people further into debt as many struggling businesses need the money they pay in tax to keep their business going.

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