HMRC "New Disclosure Opportunity"

capitaltaxconsulting — Thu, 09 Jul 2009 09:54:00 GMT

HM Revenue and Customs (HMRC) has announced initial details of the new offshore bank account disclosure scheme, which is due to commence in the autumn of 2009.

Following a meeting with tax practitioners, HMRC has confirmed that the penalty for full disclosure under the scheme, of income connected to a hitherto undeclared offshore account, will be 10%. However, penalties could be higher for those who had a previous opportunity to disclose offshore income but failed to do so. Ordinarily, penalties of at least 30% and up to 100% can be imposed on undeclared income.

The partial amnesty scheme will run from the autumn of 2009 until March 2010. Named the New Disclosure Opportunity (NDO), it follows a similar facility in 2007 which collected circa GBP 400 million in additional tax. However, the government has warned that this will be the last chance for those with unpaid tax connected to an offshore account to come forward and escape harsh penalties and possible criminal prosecution. The government expects the NDO to raise about GBP 2 billion in extra tax.

HMRC is currently seeking legal authority to force about 500 banks with UK customers to hand over records of their offshore customers. If successful, this will leave the department with a mountain of data to examine, but it has warned that the information obtained from the banks will enable tax inspectors to pursue offshore account holders who failed to disclose during the NDO.

Industry professionals are stressing that anyone with any doubts as to their liabilities should take specialist advice as soon as possible. Capital Consulting can provide further information and guidance upon request: please contact us to discuss in greater detail.

2009: Worldwide Cost of Living survey

capitaltaxconsulting — Tue, 07 Jul 2009 13:37:00 GMT

The 2009 Worldwide Cost of Living Survey has now been published showing the top 5 cities being: Tokyo, Osaka, Moscow, Geneva and Hongkong.

Further information can be found on www.mercer.com

Capital Tax Consulting

HMRC "New Disclosure Opportunity"

2009: Worldwide Cost of Living survey