D-Day Looms for Defaulting Taxpayers18 Jun 2018
Over the past two years HMRC has been receiving information from over 100 countries about the affairs of UK taxpayers. The majority of those taxpayers will have their tax affairs in order and therefore this will not be a concern. However, there are still a significant number of taxpayers who have not fully disclosed their overseas income and gains to HMRC.
For those defaulting taxpayers, there is a duty to correct their tax returns by 30th September 2018.
From 1st October 2018, anyone who has failed to correct their tax affairs will be subject to penalties of up to 200% of the tax due and potential criminal prosecution.
It is thought that HMRC is already sitting on a significant amount of information about defaulting taxpayers, but is not taking action until after 30th September so as to bring defaulting taxpayers into the new regime.
It has therefore never been more important to bring your tax affairs up-to-date.
By making a voluntary disclosure before 30th September, penalties will be lower and the risk of criminal prosecution will be significantly reduced.
Kuits has made over 300 voluntary disclosures relating to offshore assets on behalf of clients negotiating with HMRC to minimise tax and penalties due.
For confidential advice (with the benefit of legal privilege) on any concerns you have about your tax affairs contact Robert Levy or Paul Bricknell on 0161 832 3434.