UK Slaps £5.2M Fine on Hasan Nawaz for Tax Default

LONDON — Hasan Nawaz, the son of Nawaz Sharif, former Prime Minister of Pakistan, has been officially named a “deliberate tax defaulter” by Her Majesty’s Revenue and Customs (HMRC) in the United Kingdom, being fined £5.2 million for unpaid taxes totaling approximately £9.4 million.

This announcement comes as the UK government updates its official list of tax defaulters, which now includes Nawaz’s name. The taxes in question were due for the period from April 6, 2015, through April 5, 2016. A legal representative of Nawaz, who was not available for direct comments, indicated that he disputed the tax claims, alleging that he had paid the required taxes for that timeframe.

The source further claimed that the HMRC requested additional taxes long after the standard time limits, leading to the current dispute. “Nawaz’s bankruptcy will be sent next month in April 2025,” the legal source revealed.

In April 2024, Hasan Nawaz was declared bankrupt by the London High Court following a petition by HMRC concerning his tax obligations. Court documents indicate that the bankruptcy order was finalized on April 29, 2024, after a creditor initiated legal action due to non-payment.

Details published in the official UK Gazette noted that Hasan Nawaz, a resident of Flat 17 Avenfield House, was assigned bankruptcy under case No. 694 of 2023, initially filed on August 25, 2023. The ramifications of bankruptcy prevent him from serving as a company director while under this status unless he receives permission from a court.

Despite the penalties imposed, there are assertions from his legal representatives that he remains compliant with tax obligations from the relevant period. The HMRC’s publishing strategy aims at discouraging deliberate tax defaults by increasing public awareness of tax delinquencies.

The recent listings arise as part of a broader effort by UK authorities to improve tax compliance and reduce instances where individuals or businesses consciously evade their tax responsibilities. According to HMRC, publication of such defaulters is crucial, as those named on the list owe more than £25,000 in unpaid taxes.

This development adds to the ongoing scrutiny of the Sharif family, previously embroiled in corruption allegations, further fueling concerns around financial ethics and accountability. In light of these developments, Hasan Nawaz’s legal team is expected to address the tax claims and ongoing bankruptcy proceedings comprehensively in the coming weeks.