7:15 am, August 26, 2025
A used car and van dealership has been fined more than £200,000 after appearing on a government list of deliberate tax defaulters.
According HMRC, the Stanmore-based Auto Capital Limited intentionally avoided an eye watering £252,071 in tax, which was owed between September and November 2021.
The firm, which turned over £16.31m in its most recent set of annual accounts, was fined £201,656 for dodging the tax and publicly named and shamed by the tax office.
According to Companies House, the outfit specialises in the ‘sale of used cars and light motor vehicles’ and saw profits tumble in its most recent accounts from £1.57m to just £9,655.
Auto Capital Limited has now issued a robust response to HMRC’s claims and has says that accusations that it ‘deliberately defaulted’ on the bill are a ‘gross distortion’.
The firm says it has now launched a judicial review into the case, as it fights to clear its name.
A spokesman for the outfit told Car Dealer: ‘While we acknowledge the existence of a tax dispute with HMRC, the claim that we “deliberately defaulted” on a bill is a gross distortion of the facts.
‘Auto Capital has been fully compliant with all HMRC requirements, and it is precisely for this reason that we are appealing the decision.
‘To be unequivocally clear, Auto Capital is up to date with all HMRC tax obligations and we hold no outstanding liabilities with HMRC.
‘The original decision is actively being challenged, and we are proceeding with a formal Judicial Review. We are highly confident in the outcome of this legal process.
‘Auto Capital is a vital part of a vibrant community ecosystem. We want our partners — from schools and hospitals to small businesses and families across the UK — to be assured of our financial stability.
‘Our reputation is built on years of hard work, financial stability, and ethical practice. Our focus remains on our customers and the successful operation of our business.’
The tax office says that the defaulters list only includes firms penalised under civil procedures and does not include criminal convictions for tax fraud.
Offenders details will remain available on the government’s website for the next year as part of a bid to ‘influence taxpayer behaviour and encourage defaulters to engage with HMRC.’
Auto Capital Limited was the only party to be named on the most recent list, published earlier this summer, although a longer list, posted in July, included further names from the motor trade.
Up first, Cumbrian car dealer Gareth Fennell was found to have intentionally dodged £51,855.52 in tax, which was owed in December 2023.
Fennell, who traded as Gareth Fennell Cars, has since seen his company wound up but was still fined £19,964.37 for the unpaid bill.
Elsewhere, vehicle breaker Abiodun Idowu Sanni was fined 22,143.86 over an unpaid tax bill of £43,207.59 between April 2016 and April 2021.
On its website, HMRC says of the list: ‘These deliberate acts have resulted in HMRC establishing an additional amount of tax of more than £25,000.
‘HMRC will only publish the details where the taxpayer has not made a full and immediate disclosure when HMRC started to investigate or prior to any investigation.
‘The list relates to deliberate defaulters who’ve been dealt with using civil proceedings.
‘The list does not contain details of criminal convictions of those found guilty of a criminal offence in open court and therefore the verdict and sentence is a matter of public record.’
The updated lists come after Car Dealer reported earlier this year how Derek McCarrity, of Newtownabbey, Northern Ireland, had been fined £2.14m for dodging a staggering £3.15m in tax relating to his car sales business.
The latest lists can be viewed here.
Story updated on 16/10/25 to include fresh comments from Auto Capital Limited.
