“Thousands of British investors with up to £3bn stashed in secret Liechtenstein bank accounts” will be offered a special deal by HMRC if they “come forward voluntarily” (Financial Times 26 March 2009). The details are being thrashed out by the OECD.
The Liechtenstein government is in talks with the UK’s HM Revenue & Customs and has already agreed to encourage “voluntary disclosure of untaxed assets”. HMRC’s chief tax inspector, Dave Hartnett, said they will “open up the historic bank accounts” in part of an international drive against tax evasion and tax fraud.
It’s likely that this will all form part of a new Tax Amnesty (New Disclosure Opportunity) on the lines of the 2007 incentivised disclosure process known as the Offshore Disclosure Facility. A new Tax Amnesty would almost certainly guarantee immunity from prosecution, and include a relatively simple disclosure process and reduced penalties for full disclosures. Incomplete or incorrect disclosures would be reviewed for full investigation potential and this could lead to prosecution or substantially higher penalties. The FT suggests that Liechtenstein banks would be forced to close bank accounts of customers who do not take up the deal.
How do I take advantage of the Tax Amnesty?
Tax Amnesty 2009: The New Disclosure Opportunity offers another opportunity for significantly reduced penalties. We can help you take advantage of the Tax Amnesty 2009.
In any event it can be highly beneficial to make a voluntary disclosure of any tax irregularities to HMRC. This can minimise the chances of prosecution and substantially reduce penalties. It allows you to manage the disclosure rather than have Tax Inspectors enquiring intrusively into your business and financial affairs; possibly visiting your bank and business contacts to help with their tax enquiry. Badly handled disclosures can lead to costly and intrusive tax investigations.
Lynam Tax has a vast amount of practical experience in managing tax disclosures and of dealing with HMRC tax inspections, as well as dealing with ODF 2007. We can advise you on the best course of action and if appropriate, help you manage any necessary disclosures in order to obtain the optimum outcome for you, your business and your family.
For a free, private, no obligation consultation, call Paul Lynam today on 0845 643 9997