Press Release

09 December 2009

 

HMRC announces details of new penalty and disclosure regimes

 

Comments from law firm McGrigors on new 200% fines for offshore tax evasion

 

Phil Berwick, Director of Tax Investigations at McGrigors, says: "HMRC said it would come down hard on offshore tax evasion and this is a clear signal that it plans to do so like a proverbial ton of bricks."

 

Jason Collins, Partner at McGrigors, says: "The maximum penalty for tax evasion at the moment is 100% of the unpaid tax, so this doubling is a dramatic ratcheting up of the pain for taxpayers with undeclared income in offshore accounts."

 

Phil Berwick, Director of Tax Investigations at McGrigors, says: "This underlines how absolutely vital it is for taxpayers to come forward under the New Disclosure Opportunity, which closes in just a few weeks. The uptake on the 2007 offshore tax amnesty was poor."

 

Jason Collins, Partner at McGrigors, says: "With this new penalty regime, taxpayers with undeclared gains in offshore accounts really are drinking in the last chance saloon."

 

Phil Berwick, Director of Tax Investigations at McGrigors, says: "The tougher penalties need to be widely publicised. Taxpayers need to be made aware that if they fail to use the New Disclosure Opportunity to wipe the slate clean and get their tax affairs in order, they face potentially disastrous financial consequences further down the line."

 

Jason Collins, Partner at McGrigors, says: "With the banks providing details of their customers to HMRC and a new requirement for taxpayers to notify HMRC when they open accounts in certain offshore jurisdictions, the days of hiding taxable income offshore are coming to an end."

Andy Peat

Business Development Director
Telephone: +44 (0)20 7054 2710
Mobile:  +44 (0)7894 835 386
Email: andy.peat@mcgrigors.com

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