1) Comparing you with neighbours

Part of HMRC’s recent trials explored the impact of changing just one
sentence, based on local comparisons.

It found that replacing the sentence “Nine out of 10 people in the UK pay
their tax on time” with “The great majority of people in [the taxpayer’s
local area] pay their tax on time” increased the proportion of people who
paid their income tax before the deadline.

Do you resent being "nudged"?

2) "Frightening" people with finances overseas

Andrew Watt, a partner at Watt Bushfield Tax Investigations, said some of the
most “nudged” Britons were those who held offshore bank accounts.

He said nudge techniques were designed to persuade, or even frighten, people
into changing their behaviour. He said: “HMRC would deny they use tricks.”

Earlier this year HMRC sent 5,000 “nudge” letters to people with Swiss bank
accounts, urging them to pay any outstanding tax. Those who do not respond
face a full tax inquiry.

3) Repaying your debt – right now

If someone has several debts – including to the taxman – who should they pay
off first? Probably the loan shark or payday lender. But now the taxman is
employing language to scare non-payers into settling their tax debts.

Dawn Register, a tax specialist at accountancy firm BDO, said recent
correspondence had become more aggressive in attempts to “petrify” people
into paying tax on time.

In one letter seen by Telegraph Money, “Notice of enforcement – taking control
of goods” is written in bold and underlined type.

It warned: “If you do not pay in time we can visit your premises in order to
arrange for your goods to be sold at auction, as the law allows.”

It charged a £75 fee for the letter.

Ms Register said: “People who were in difficulty in the past were probably
most scared of loan sharks. But the taxman is becoming more scary – because
they are increasing their powers to collect debt.”

But some of the changes are more subtle. HMRC tells people in debt that “most
people with a debt like yours have paid it by now”.

4) Targeting your job

The taxman found that simply telling a worker to “declare your income” didn’t
work. So it will compare them with co-workers in order to get the best
response.

Targeted campaigns have focused on particular industries such as doctors,
plumbers, eBay sellers and landlords

Letters will say that the Revenue can track you without your knowledge and
quote specific data for non-payers in your industry.

For example, HMRC targeted doctors by going to health insurance providers to
collect data about consultancy fees paid to doctors that weren’t subject to
tax unless the doctor put it on their return.

5) Scaring (innocent) companies off tax avoidance

Even organisations that are not tax avoiders (which is legal) or tax evaders
(which is illegal) are “nudge” targets.

In one letter from September 2014 seen by Telegraph Money, a company was asked
“Are you still thinking about trying to avoid tax?” in bold and underlined
type.

It said to the innocent company: “We obtain information on a regular basis
providing details of individuals and companies who are considering using a
tax avoidance scheme.”

The letter said: “We hold information which suggests your company has recently
been considering this.”

But “don’t worry” if you have “already decided” not to avoid paying tax, the
letter added.

Ms Register said: “In the past HMRC may have sent a nice letter saying this
needs to be looked at and now they are really emphasising the danger of
avoiding tax.”

And finally ... buying into green energy schemes

Energy-efficient subsidies are worked out by the taxman's "nudge"
unit to encourage higher take-up from taxpayers for these voluntary schemes.

One nudge involves changing the way consumers pay to insulate their homes. A
trial held in 2012 sought to find out why people were not taking up
financial help to insulate their lofts, even though it reduced energy
consumption and their bills.

Psychologists said it was because people were held back because their lofts
were too cluttered. As a trial, they offered people subsidised loft
clearance instead.

Even though the loft insulation subsidy was cheaper overall (£179), the more
expensive option of paying for loft insulation and subsidised clearance
(£450) was twice as popular. The most popular option, at around three times
the loft subsidy alone, was when both services were subsidised at a cost of
£369.

– For money saving tips, tricks and ideas, sign
up to our weekly newsletter

– Find us on Facebook
and Twitter