HMRC, or HM Revenue and Customs is the United Kingdom’s tax, payments, and authority over customs. Their one and only purpose is to collect the funds from the public that will end up paying for any public services that the United Kingdom has, and the funds also help single persons or families who are in need of monetary help to survive. They are able to do their services appropriately by staying completely impartial so that they can be more effective and efficient. They also work hard to make sure that taxes are easy enough to understand and that there is help for those that need extra assistance. The HMRC is also there to make sure that those who are dishonest have a nearly impossible time in cheating the tax system. The department is run by two separate agencies as well as public bodies.
The HMRC plays an important role in preventing financial crime and money laundering. Many financial institutions have to go through the regulations set forth by the HRC so that money laundering and other financial crimes are prevented. These requirements are strict, and financial institutions will face legal issues if they do not follow them to the letter. Requirements include those like making sure the identities and backgrounds of clients line up with who they say they are. They must also track in great detail every transaction that is made, and make sure they have officials who are in charge of overseeing all the regulations. As of recently, these institutions are also required to report any transactions they deem as suspicious.
The HMRC’s major goal is to make the threat of money laundering less than it is, and they have gone through many hurdles and spent a lot of their funds in making this a reality. They document each transaction in great detail so that authorities can quickly pull up any account on the records if they need too. They also made it so that each institution has all the detailed records they need, and many copies of it so that if they are audited, all the records are easy for the examiner to find.
Furthermore, in order to make it even harder for any financial crime to happen, the HMRC created dedicated positions that are dedicated solely for stopping financial crime before it happens. These name for the people in these positions is “nominated officers” or what is also referred to as “money laundering reporting officer.” Every financial institution in the United Kingdom must have one of these nominated officers that work for that branch. This HMRC officer is the person that gets any reports from the institution’s employees when there is any suspicious activity on a singular account when they think there is potential money laundering going on, or when they think there could be terrorist activity going on. The HMRC officer then looks at the accounts and decides what to do based on the evidence he is given.
The HMRC plays a vital role in the financing and protection of money in the United Kingdom. You can visit https://www.gov.uk/government/organisations/hm-revenue-customs to get more information on Her Majesty Revenue and Customs and the scope of everything they do.