close menu

“I didn’t know” is no longer an excuse for tax evasion

by 1st Contact | May 13, 2014
  • If you are holding money in offshore accounts, it’s essential that you fully declare these accounts to HMRC to avoid crippling fines and possible prison time.
    Tax refunds

    Burden of proof shifts

    Up until now, HMRC has had to prove that individuals intended to evade tax on foreign income. But that’s set to change as the government looks to tighten the noose on people holding undeclared funds offshore.

    The latest document, No Safe Havens, outlines plans to introduce a law that makes holding undeclared money offshore a criminal offence. Those convicted could face a prison sentence and hefty fines, even if there was no intention to evade taxes. This shift of the burden of proof means that intent to evade tax becomes irrelevant; intent is assumed – unless the evader can prove otherwise.

    Penalties could increase

    Currently, the penalties for offshore tax evasion can mount to up to 200% of the tax owed. This is now under review and government is considering whether the 200% limit should be raised. The government is also reviewing how to penalise individuals who are deemed to be moving money around to avoid detection and whether or not inheritance tax should be included.

    More countries to sign exchange of information agreements

    In the last year alone, the UK signed 10 more automatic exchange of information agreements, with many more to follow. Under these agreements, tax investigators can see names, addresses, account numbers and balances.

    For any tax advice and assistance, please visit 1st Contact Tax Refunds. For a laugh, take a look at Ten unbelievable excuses by people who missed the Self Assessment deadline.

    We are a professional services company that specialises in cross-border financial and immigration advice and solutions.

    Our teams in the UK, South Africa and Australia can ensure that when you decide to move overseas, invest offshore or expand your business internationally, you’ll do so with the backing of experienced local experts.

    • Tax refund money
      11 excellent ways to spend your UK tax refund
      Apr 09, 2019  |  by Kobus Van den Bergh
    • London-business
      The UK still the best country for business in 2019
      Apr 04, 2019  |  by Scott Brown
    • Contractor choosing door
      Contractor insurance: Choosing the right cover for your risks
      Mar 12, 2019  |  by Kobus Van den Bergh
    • Making Tax Digital for VAT
      Making Tax Digital for VAT deadline: What you need to know before April 2019
      Feb 18, 2019  |  by Scott Brown
    • Businessman-running
      Did you overpay HMRC? Here’s how to get your tax refund
      Feb 07, 2019  |  by Kobus Van den Bergh
    • Business
      Will 2019 be a good year for UK contractors? IR35 and the loan charge
      Jan 24, 2019  |  by Ashley Deakin
    • Business-concept
      Moving your business to the UK? You’ll need to understand the UK’s VAT regulations
      Nov 12, 2018  |  by Scott Brown
    • Autumn-statement-banner-no-logo-white
      Highlights from the 2018 Autumn Statement
      Oct 30, 2018  |  by Scott Brown
    • man-in-front-of-shop
      A quick guide to UK business tax
      Oct 26, 2018  |  by Scott Brown
    • working-man-contractor
      Self-employment vs. contracting in the UK: What’s the difference?
      Oct 11, 2018  |  by Kobus Van den Bergh
     
     

    South Africa

    Cape Town

    Regent Square
    Doncaster Road
    Kenilworth 7708 +27 (0) 21 657 2120

    Durban

    25 Richefond Circle
    Ridgeside
    Umhlanga 4320 +27 (0) 31 536 8843

    United Kingdom

    Croydon

    One Croydon
    12-16 Addiscombe Road
    Croydon CR0 0XT +44 (0) 20 7759 7514

    Australia

    Melbourne

    9 Yarra Street
    South Yarra
    VIC 3141 +613 (0) 8651 4500

    Sable International is a trading name of 1st Contact Money Limited (company number 07070528), registered in England and Wales. We are authorised and regulated by the Financial Conduct Authority in the UK (FCA no. 517570), the Financial Services Conduct Authority in South Africa (1st Contact Money [PTY] Ltd - FSP no. 41900) and hold an Australian Financial Services License issued by ASIC to deal in foreign exchange (1st Contact Group - AFS License number 335 126).

    We use cookies to provide the best website experience for you. Using this website means that you agree to this. How we use cookies.