In a quick turnaround, HMRC has published its summary of responses to the consultation on 'Closing in on promoters of marketed tax avoidance', which ran until 18 June 2025.

The PCA previously wrote about the consultation and the areas in which it was seeking views here. The proposals are part of the government's ongoing commitment to closing the tax gap, which it estimates at £0.2 billion for 2023 to 2024, and taking stronger action against tax avoidance, declaring that 'the government is committed to closing in on the small but persistent minority who promote marketed tax avoidance'.

During the course of the consultation, which ran for 12 weeks from 26 March 2025, HMRC sought views on a number of measures designed to strengthen the crackdown targeting promoters of marketed tax avoidance.

The focus was on four areas:

• expanding the scope of the Disclosure of Tax Avoidance Schemes (DOTAS) regime
• introducing a Universal Stop Notice (USN) and Promoter Action Notice (PAN)
• tackling controlling minds and those behind the promotion of avoidance schemes through new highly targeted obligations and stronger information powers
• exploring options to tackle legal professionals designing or contributing to the promotion of avoidance schemes

The government received 35 written responses and held 17 meetings with stakeholders which were 'generally supportive' of measures.

The summary of responses states that many respondents were concerned that proposals were not appropriately targeted to address the small group of 20 to 30 suspected promoters, and looked for assurances that proposals would be applied and managed with appropriate safeguards. Many respondents were also concerned about the proposal for a new criminal offence for non-compliance with the DOTAS regime. The government purports to have listened to feedback and adapted some of the proposals accordingly.

Draft legislation has been published alongside the summary of responses as part of the government's consultation on the Draft Finance Bill for those proposals that would require primary legislation and welcomes further comments.

Legislation includes introducing a criminal offence for the failure of a promoter of tax avoidance arrangements to notify arrangements to HMRC and updating the DOTAS civil penalty regime so that HMRC may directly issue DOTAS penalties instead of seeking tribunal approval, among other legislation.

Draft legislation can be viewed here.