Offshore banks told to name names

The Tax Chamber of the First-tier Tribunal have today ordered over 300 banks to give details to HM Revenue & Customs (HMRC) about their customers who hold offshore accounts.

HMRC can now issue the information notices to banks ahead of the New Disclosure Opportunity (NDO). The NDO will allow people with unpaid taxes linked to offshore accounts or assets to settle their tax liabilities at a favourable penalty rate.

Under the rules of the NDO, people who make a complete and accurate disclosure will qualify for a 10% penalty. Those who choose not to take this opportunity and are subsequently found to have undeclared tax liabilities are likely to face a 30% or higher penalty and also run an increased risk of criminal prosecution.

Stephen Timms MP, Financial Secretary to the Treasury said:"It is wrong that some people evade paying their fair share of tax by hiding assets in offshore accounts. Today's ruling represents real progress in creating a level playing field for all taxpayers."

Permalink