Do you have any undisclosed Offshore tax liabilities?31st August 2018 | Posted in: Government Announcements, Pensions, Savings & Investments, Personal Tax, Property Investment, Regulations
HMRC’s Requirement to Correct (RTC) deadline of 30 September 2018 is looming.
If you have any undisclosed offshore tax liabilities, which arose on or before 5 April 2017, you must notify HMRC about these before 30 September 2018. If you do not and HMRC then discover any such tax liabilities at a later date you risk being charged a standard penalty of 200% of the tax due.
RTC applies to undeclared income tax, capital gains tax and inheritance tax in relation to offshore sources of income or assets. This could include overseas rental income, investment or trust income and the sale of property.
HMRC will be sent financial information from 102 countries under the new Common Reporting Standard (CRS) and it is likely that more countries will sign up to this standard in the near future. HMRC use sophisticated computer systems to ensure that they do not miss any sources of unreported income and will therefore make good use of the information provided to them under the CRS.
If you are worried about any potential undisclosed offshore or indeed other tax liabilities, please contact us as soon as possible. We can then advise you and assist to make the notification of any disclosure required by 30 September 2018 to minimise potential penalties.
Please note that any disclosure simply needs notified by 30 September 2018 and HMRC will allow time to prepare any necessary calculations of the amounts due.