Volume 11 No 6    /    Read Article

By Gary Ashford (Guest Author)

It is no secret that the U.K. government is anxious to raise revenue as the public sector debt is estimated to be equivalent to 98.5% of G.D.P. (approximately £2.7665 trillion). The Labour government is dead set on raising income. Non-dom taxation is gone, tax rates are on the rise, and what was capital gains for certain carried interests is ordinary income. Part of the labor program is an attack on tax evasion and avoidance. There are plans for the Labour government to invest £855m over five years in resources for H.M.R.C. to raise £2.7 billion per annum from this investment. In those circumstances, it is not unexpected that assertions of tax fraud and evasion will be raised against those caught up by the compliance initiative. Gary Ashford, a partner of Harbottle & Lewis in London, explains H.M.R.C.’s definition of tax fraud and goes on to discuss the steps that are available for those wishing to make a voluntary disclosure. It is not a pretty picture, especially for those having used offshore vehicles.   See more →