New Disclosure OpportunityYou may have heard of the New Disclosure Opportunity (NDO) offered by HM Revenue & Customs (HMRC). Although the opportunity is new, it is reportedly the final chance to disclose tax underpayments linked to offshore accounts or assets at a favourable penalty rate. HMRC have received data from financial institutions regarding money held offshore and are expected to receive much more additional data over the coming months. The Offshore Disclosure Facility of 2007 raised over £400 million and yet many commentators regarded that as the tip of the iceberg. It has been suggested that over £2 billion could be raised this time. The NDO is not really an amnesty as HMRC still expect all tax and National Insurance Contributions to be paid, plus interest, plus a penalty. Where HMRC had written to the taxpayer in 2007 the penalty is likely to be in the order of 20%, otherwise taxpayers may be able to pay a lower 10% penalty. HMRC will not be as lenient on taxpayers that have not made a full disclosure and are found in the future to have underpaid tax as a result of offshore accounts or assets. Participation in the NDO means there will almost certainly not be an intrusive and expensive HMRC enquiry and the risk of prosecution is unlikely. The NDO runs from 1 September 2009 to 12 March 2010 with the filing deadline being dependent upon whether submitting electronically or by paper. If you require assistance please do not hesitate to contact us. |
Contact
Tel: 01384 403 500
Simon Cook Accountant
Mobile: 07545 928 686
Location
As a Birmingham Accountant we're well placed to handle clients across the West Midlands. With offices in a number of major towns in the local area as well as Birmingham itself