DM Monitoring
LONDON: Hassan Nawaz, son of former Pakistan prime minister Nawaz Sharif, has been hit with a £5.2 million penalty by HM Revenue & Customs (HMRC) for deliberate tax default, despite being declared bankrupt just months ago.
According to the latest update on the UK government’s “Current List of Deliberate Tax Defaulters,” published on March 18, 2025, Nawaz failed to pay taxes amounting to approximately £9.4 million for the period between April 5, 2015 and April 6, 2016.
The £5.2 million penalty imposed by HMRC reflects the severity of the non-compliance, adding further scrutiny to his financial affairs.
The revelation raises significant questions about the implications of Nawaz’s recent bankruptcy, which may complicate efforts to recover the outstanding tax. Under UK insolvency laws, while bankruptcy can discharge certain debts, penalties arising from deliberate tax evasion are typically harder to escape. Nawaz, who has been involved in multiple business ventures in the UK, has long faced scrutiny over his financial dealings.
Legal experts suggest that HMRC has a range of enforcement mechanisms to recover unpaid taxes and penalties, including asset seizures if necessary. However, given Nawaz’s bankruptcy status, the process may be prolonged.
Earlier, The United Kingdom (UK) government has declared Hassan Nawaz, son of PML-N President and former PM, Nawaz Sharif as a ‘tax defaulter’.
The UK government has updated the list of defaulters on its official website.
As per details, the UK government declared Hassan Nawaz ‘tax defaulter’ as he failed to pay £9.4 million in taxes between April 5, 2015, and April 6, 2016. The UK tax authority has imposed a £5.2 million penalty on the son of former prime minister, with details of the action shared on the government’s official website.
Legal experts suggest that despite PML-N president’s son having declared bankrupt a few months ago, authorities may still recover the penalty, as tax fraud fines are not waived under UK law. There has been no response from Hassan Nawaz’s legal representatives so far.
Last year, an accountability court acquitted Nawaz Sharif’s sons Hassan and Hussain Nawaz in Avenfield, Flagship, and Al-Azizia NAB references.
Islamabad accountability court’s judge Nasir Javed Rana announced the reserved verdict on petitions of ex-PM sons and acquitted them in three accountability references against them.
Earlier, the court had granted bail to Hassan and Hussain who had surrendered before the accountability court.
