THE Scottish Government is backing the £3.6 million tax crackdown on the fishing industry north of the Border.

Her Majesty's Revenue and Customs (HMRC), which is embarking on the crackdown, is stressing that unless there is blatant fraud their inspectors will be working with fishermen and not against them.

HMRC has set up a taskforce to target crews, fishing vessel owners and fish processors after receiving evidence that many in the industry are not paying the correct level of tax.

The taskforce estimates £3.6m could be recovered in unpaid tax, though the scale of the problem could be much larger.

Scottish ministers are supporting the move. A spokeswoman said it was important tax evasion in any industry was tackled effectively and those who were not abiding by the tax laws should be brought to book.

She said: "Quite apart from the importance of ensuring tax laws are upheld, those who don't pay their taxes are damaging the interests of law-abiding fishermen by gaining an unfair advantage.

"We also note HMRC is not solely targeting the Scottish fishing industry but that this taskforce is part of a wider programme of taskforce activity covering a range of industries across the UK."

Meanwhile, an HMRC spokeswoman said there was no suggestion the Scottish fishing industry was any worse than other sectors of the economy for tax evasion.

She said: "We pick a geographical area or a trade when we receive information. We are also targeting restaurants in Tyne and Wear and hauliers in Milton Keynes. We have these taskforces every few months. We did dance teachers a while ago.

"A lot of the problem can be down to just lack of understanding. But anyone in doubt about whether they should be paying tax needs to read up on our information."

She said the industry may be complicated as some fishermen may be self-employed, employed or contracted.