According to City AM, HMRC continue to pursue non compliant UK taxpayers by issuing nudge letters. As previously covered, HMRC’s use of nudge letters is a cost efficient way of recouping tax for the Exchequer without the need to launch a tax investigation into a taxpayer’s past tax compliance. But beware, there are risks forContinue reading “HMRC issue 177,000 “nudge letters” in order to tax offshore income or gains”
HMRC are writing to taxpayers that have outstanding loans from their EBTs, EFRBs and other offshore structures. HMRC use information received under the Common Reporting Standard to identify those ignoring the Loan Charge. The origins of some of these arrangements go back to the 1990’s and have been “forgotten” – that is until now. SurelyContinue reading “HMRC use information received under the Common Reporting Standard to identify those ignoring the Loan Charge”
HMRC are pretty good at grabbing people’s attention by using such headings in their letters to taxpayers. Such letters are often effective because their “intelligence sources” are pretty accurate. I have seen letters in the past where HMRC have even quoted bank account numbers from the outset just to demonstrate how much detail they hadContinue reading “About your offshore income and gains … … …”
They say that a little knowledge can be dangerous. Likewise, being self taught off the internet can cause unexpected tax problems. A lot of taxpayers around the work want to be able to say “it’s tax free”.
The fact a taxpayer has an offshore bank account or an offshore trust or offshore anything can raise or add to the concerns of HMRC. Not so much as “what is there to hide” but more the fact that its not so transparent compared to being on the mainland UK. So what?
This is the heading of the latest nudge letter from HMRC. Quite a snappy title and attracts most people’s attention to get them to read on further. But then how does HMRC know that you have any overseas assets? Or overseas income? Or overseas gains?