Tax snoopers target shoppers’ records

THE taxman has resorted to snooping on the personal shopping habits of thousands of people to find out if they should pay a new Scottish tax.

In an unprecedented data trawl, millions of orders made over the phone and on the internet have been scoured for evidence of where consumers call home.

A secret group of major retailers – believed to include catalogue companies Littlewoods and Very, shopping channel QVC and clothing company Cotton Traders, plus many other high street names – has been pooling customer information.

Details from the massive database were made available to HM Revenue and Customs as part of preparations for the new Scottish Rate of Income Tax (SRIT) which comes into force next year.

All taxpayers whose main place of residence is Scotland will have to pay the new Scottish rate of tax – even if they work in England.

HMRC has compiled a list of 20,000 people who have properties on both sides of the Border, and instructed officials to find out where their main home is.

The taxman is also checking Scots’ addresses against details held by banks, building societies, Royal Mail and the Post Office plus the electoral roll.

From next April, Holyrood will be free to levy SRIT. HMRC will still collect the money but then hand it on to Edinburgh.

HMRC hired data specialist GBG, of Chester, to carry out the tax checks.

Scottish Lib Dem leader Willie Rennie said: ‘People might be alarmed to learn that HMRC has looked into everything from the electoral roll to people’s supermarket habits while preparing for the introduction of the SRIT.’

A spokesman for HMRC said: ‘We have worked to compile an accurate list of SRIT taxpayers. This is fully compliant with the Data Protection Act.’