Higher offshore tax evasion penalties explained
By Kirsten Hastings, 3 Jul 18
The UK taxman has updated its factsheet on how it calculates new penalties for offshore tax evasion involving income tax, capital gains tax and inheritance tax.
The size of the penalty is also determined by the territory where the income or gains arose. For IHT it’s the place where the asset was located or to which it was transferred.
Category One
Territories that have agreed to automatically exchange information with the UK.
Maximum penalty: 100%.
Category Two
Territories that only exchange information if asked by the UK.
Maximum penalty: 150%
Category Three
Territories that have not agreed to share information with the UK: examples include Barbados, Cape Verde, Monaco, Panama, St Vincent & the Grenadines and the UAE.
Maximum penalty: 200%
It’s not just information about the assets that HMRC wants – the UK tax authority wants specific details about who, where, what, when and how. Click through to read more.
Tags: HMRC | Tax Evasion
