TaxSource Total

Here you can access summary of the key current tax developments in Ireland, the UK and internationally as reported by Chartered Accountants Ireland

The report of key tax developments are displayed per year, per month, by Ireland, the UK or International and by report title

Penalty Amnesty

HMRC has announced arrangements enabling investors with offshore accounts to disclose to HMRC any income and gains not previously included in their tax returns. The arrangements also apply to other tax defaults.

To use these arrangements, investors will need to notify HMRC by 22 June 2007 of their intention to make a disclosure and then make their disclosure by 26 November 2007.

The HMRC Scheme bears considerable resemblance to settlement arrangements under the RoI Audit Code of Practice for special investigations.

ROI

UK

Two months to make a declaration of intent to disclose, two months thereafter to make the disclosure

Two months to make a declaration of intent to disclose, six months thereafter to make the disclosure

No De Minimus amount

No penalty on disclosures of untaxed amounts totalling less than £2,500

Unlimited look-back, but earlier defaults deemed to arise in 1990/91

Look-back limited to 20 years

Penalties mitigated to 10% of tax at issue

Penalties mitigated to 10% of tax at issue

Limited Assurance on Prosecution for full disclosures

A final decision from HMRC on whether or not your disclosure has been accepted as soon as possible and by 30 April 2008

Assurance that the case details will not be published

No corresponding sanction under the legislation

Not open to taxpayers already subject to an enquiry

Not open to taxpayers already subject to an enquiry

Available in relation to tax default under all taxheads

Available in relation to tax default under all taxheads

Settlement of tax interest and penalties a condition for acceptance

Settlement of tax interest and penalties a condition for acceptance

Revenue will not compute the liability

Revenue will not compute the Liability

HMRC have mentioned in a press release that they have obtained from various financial institutions details of offshore accounts and credit cards held by UK residents using statutory powers.

The Offshore Accounts Disclosure Facility is available at http://disclosures.hmrc.gov.uk/oaics/.