Deadline: 30 September 2018 – World Wide Disclosure Facility
As the deadline nears, HMRC is reminding all taxpayers to notify them of any previously undisclosed offshore income and gains and settle any tax liabilities arising from such matters.
Taxpayers who fail to correct by 30 September 2018 will face a minimum penalty of 100% of the tax due. Penalties will start at 200% where offshore tax is involved, but can be reduced to reflect disclosure, however not below 100% of the tax involved. Further penalties and criminal/civil prosecution could apply in serious cases.
At present a typical case could expect penalties of between 30%-40% of the tax due, but after 30 September these penalties are expected to be 150% for a typical case. It is therefore important that if a taxpayer has any previously undisclosed offshore income that they registered under the facility by midnight on 30 September 2018 and complete the process within 90 days to avoid higher penalties.
If you are unsure whether you need to make a disclosure please contact Stacey Steele on 023 8046 1234.