The UK tax authority, HM Revenue & Customs can get information from a very large number of countries round the world, and give those countries information too.
There are two major legal routes for the taxmen to pass information over their borders. Firstly the Mutual Assistance Directive (MAD) between EU member states. This requires EU member states to provide each other with information in order to determine tax liabilities. It also allows, say, HMRC in the UK to use some other member state’s Tax Information Powers in order to obtain details e.g. from say a bank in that other country. The EU MAD also provides for relatively simple cross-border debt collection, bankruptcy and extradition procedures.
Secondly, the UK now has a large number of treaties with overseas countries (including many usually or previously considered as tax havens). These treaties provide for exchange of information. The two normal arrangements are Double Tax Agreements (DTA’S) and Tax Information Exchange Agreements (TIEA’S) – see our other articles. The UK now has DTAs and TIEAs with the majority of countries in the world: including recent ones with so-called tax haven countries.
If you are concerned about an offshore bank account or offshore assets, or have any historic tax liabilities that are worrying you, or think the Offshore Disclosure Facility Tax Amnesty may benefit you: then Lynam Tax Enquiry Experts can help. Call today for a confidential, discreet discussion with our experienced Tax Dispute Specialists.
Call Paul Lynam now on 0845 643 9997
or Andrew Nutbrown: 0771 877 8710