Controversial penalties for professionals who give advice on tax avoidance schemes later defeated by HM Revenue and Customs will come in to force in July, the chancellor of the exchequer said today.
In his first and final spring budget, Philip Hammond told the House of Commons that the UK has the world’s lowest ‘tax gap’ - the difference between the amount collected and the amount due - ‘but there is more that we can do’.
This includes financial penalties for professionals who enable a tax avoidance arrangement that is later defeated by HMRC – a measure announced in last year’s autumn statement. 'From July we will introduce a tough new financial penalty for professionals who enable a tax avoidance arrangement that is later defeated by HMRC,' the chancellor said.
According to today’s budget document, the new regime ‘reflects an extensive consultation and input from stakeholders’.
However much of the input was critical. Professional bodies including the Law Society said the proposed regime failed to distinguish between abuse and legitimate advice. It said the measures could present a barrier to taxpayers in taking full and frank advice.
In an announcement that is likely to raise further concern, today’s budget statement says the government will also remove the defence of having relied on non-independent advice as taking ‘reasonable care’ when considering penalties.
In other measures, today’s budget announced some support for businesses hit by next month’s revaluation of business rates. On stamp duty land tax, a controversial reduction in the filing and payment window from 30 days to 14 days will be delayed until 2018-19.
Budget 2017: penalties for ‘enablers’ of tax schemes will go ahead
0 commentaires:
Enregistrer un commentaire