Tax relief system needs overhaul to prevent abuse, say MPs

Treasury committee report says tax system is too complicated and finds two-thirds of relief policies are uncosted

Almost 200bn of tax reliefs handed to businesses and individuals each year should come under greater government scrutiny to prevent fraud and abuse, according to an all-party group of MPs.

The Treasury committee said in a report published on Wednesday that a systematic review" into more than 1,000 tax reliefs was needed after MPs found HM Revenue and Customs did not have the resources to monitor how tax breaks and deductions were used.