New Disclosure Opportunity for Offshore Account Holders - Commences 1st September
Following on from the 2007 Offshore Disclosure Facility (ODF), in April 2009 HM Revenue and Customs (HMRC) announced a New Disclosure Opportunity (NDO) for UK residents with unpaid tax connected to an offshore account.
The NDO commences on 1st September 2009 and will enable UK taxpayers with offshore accounts to voluntarily disclose previously undeclared income and capital gains to HMRC. The NDO gives offshore account holders a final opportunity to disclose.
Those choosing to avail themselves of the scheme will be expected to pay the tax they owe, interest and penalties by March 2010. The penalty has been set at 10% of the unpaid tax for full disclosure if no previous opportunity to disclose existed under the 2007 ODF. A higher penalty of 20% will apply for full disclosure if a previous opportunity existed. The maximum penalty under normal circumstances is 100%. A failure to disclose when tax liabilities exist increases the risk of investigation by HMRC and in some cases may lead to prosecution.
FURTHER INFORMATION
If you have any questions about the NDO, or need guidance, please contact us.
GUIDANCE NOTES
Download a copy of the Professional Bodies Guidance Notes for the original Offshore Disclosure Facility here (152kb PDF)
