Sex workers are the latest targets for HM Revenue & Customs (HMRC) special task forces.
Apparently JMRC has researched the adult sex industry in detail for the past few months and realised escorts, strip clubs and online pay-for-view adult web cammers are earning vast sums of money and not paying tax.
The main task force focus is on the owners and entertainers working in adult clubs across the UK.
HMRC claims the growth of the internet has also seen the number of online escort agencies mushroom.
The size of the UK sex industry is now reckoned to generate around £5 billion a year.
Escorts earn thousands a day
HMRC claims some sex workers earn thousands of pounds a day performing in clubs on for adult webcam sites.
The task force is scrutinising web sites and advertising for comparison against tax records to identify sex workers who are not registered for VAT or income tax.
Jim Stevenson, who heads HMRC’s taskforces, said: “Many people working in the adult entertainment industry are registered for tax and are paying what they owe. These people have nothing to worry about.
“The people we are after are those operating in a shady world who have no intention of obeying the rules and this is something we cannot let continue.
“No one is safe is they are deliberately trying to avoid tax on their earnings and we will track them down and take back what they owe.”
Mum jailed for escort agency tax dodge
Accountants traditionally avoid taking on sex workers as clients as if they operate outside the law, the accountant must report them for suspected money laundering.
Web site Tax Relief 4 Escorts discusses the various roles of sex workers and their legal position for tax purposes in the UK.
More than 140 HMRC task forces have collected more than £400 million in undeclared tax since 2011