HMRC have announced a tax amnesty period for teachers, private tutors and coaches to disclose income that has not previously been declared.

If you take advantage of the amnesty and tell HMRC about any income you previously haven’t told them about, you may be eligible for reduced penalties of between 10% - 20%. Usually when HMRC finds undeclared income, it means fairly heavy penalties, anything from 30% to 100%, and even criminal prosecution.

During previous amnesties we helped a large number of clients declare their income and pay the correct tax. Making their disclosure in good time meant in most cases a significant saving on possibly increased penalties.

We are pleased to announce that we will once again be able to help our existing or new clients make an accurate disclosure. This will be done on a pre-agreed fee basis. We have adopted a simple fee structure of only £150 plus vat per tax year.

If you think you may be affected by this, please contact us for a free consultation and to discuss how we can assist you.

Detailed information

• The period for making the initial notification of intention to disclose runs from now to 6th January 2012.
• All declarations must be completed and taxes paid by 31 March 2012, unless a pre-agreed time to pay arrangement has been agreed with HMRC
• The standard penalty during the Disclosure period ranges between 0% - 20%, dependent upon individual circumstances.
• The Tax Catch Up Plan closes on 31 March 2012. Individuals subsequently found to have undeclared earnings will be subject to fines between 30% - 100% of the tax underpaid and possible criminal prosecution.

HMRC said "After 6th January 2012, when the deadline to notify has passed, HMRC will use data from an extensive range of sources to identify those who have failed to come forward and notify their intent to make a full declaration. HMRC uses advanced IT tools such as 'web robot' software, which helps identify people who have failed to pay the right tax. Those identified face substantial penalties or even criminal prosecution.”

HMRC went on to say it is “using legal powers to obtain information about payments made to tutors and coaches from various sources, including the academic, sport, leisure and other sectors.”
 

 
To apply for this service, please call us on 0800 093 9433 lines are open from 9AM - 5PM (Monday - Friday).