Offshore Accounts – Tax Avoidance

Synopsis: Last minute rush to take advantage of the New Disclosure Opportunity.

It has been reported that almost 10,000 people have come forward to declare previously undisclosed offshore accounts under the New Disclosure Opportunity (NDO).

Apparently there was a last minute rush to meet the deadline that passed on 4th January 2010.

Under the terms of the NDO those who voluntarily disclosed will suffer limited penalties. Those who fail to disclose and who are later caught through the investigation that HMRC intends to launch from 12 March 2010 will face much stiffer penalties, which could include criminal prosecution.

HMRC has also reserved the right to name and shame on its website those who have not disclosed and are discovered to owe more than £25,000 in unpaid tax.