HMRC has won a legal case over tax avoidance scheme promoter Hyrax Resourcing Ltd which will help the tax authority collect over £40 million in unpaid taxes.

The victory over Hyrax means the promoter now has to disclose the details of its tax avoidance scheme to HMRC, along with the names and addresses of 1,180 high earners who used it.

If Hyrax fail to provide the required information to HMRC they could face a penalty of nearly £6 million, as well as £5,000 per day for not fully disclosing the scheme.

The scheme promoted by Hyrax was a disguised remuneration avoidance scheme which worked by paying scheme u...