HMRC has launched a new tool to help self employed agency and contract workers employed through an umbrella company spot whether they are at risk of tax avoidance.

Latest HMRC figures show that £794m has been repaid to people overtaxed on flexible retirement withdrawals since the Pension Freedoms were introduced in 2015.

Pension lifetime allowance (LTA) penalty charges surged by 21% in 2019-20 to £342m (2018-19: £283m), according to data released by HMRC.

Businesses are to get an extra year to prepare for the digitalisation of income tax, HM Revenue and Customs has said.