This risks more tax, though probably rather means HMRC are losing a larger sum than records show.
The accountancy firm found that just under 44% of the UK's 4.2m self-employed people operate separate personal and business bank accounts, but even then many find it difficult to maintain that separation when cash is tight.
Of course it isn't just the self employed who overdraw. Many directors - often advised to incorporate to save tax - are unaware of their duties as directors and their potential personal liability under insolvency legislation. When an IP asks for the money it is often a total surprise to directors who think limited liability is an absolute shield.
More information or even compulsory education of directors would save much pain and loss.
Frances Coulson (firstname.lastname@example.org)