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Contact us and let us call you back at when it's convenient.Did you know?
Estimates vary, but unhappy customers are believed to be 10-20 times more likely to circulate negative stories about your business than happy customers are to circulate positive stories.
HMRC have announced that they are now going to start targeting those who provide private tuition or coaching for undeclared income / tax. By coming forward during this campaign those that have understated their income will receive a lower tax penalty of 10% or 20%.
The main group of taxpayers that HMRC are targeting are those working in education, sport, leisure and music but this current scheme could also widen its net to capture those in law, PR and IT.
To take advantage to of the scheme HMRC requires the taxpayer to notify them that they intend declare their income by 6th January 2012 with full disclosure and payment of tax completed by 31st March 2012.
HMRC state:
‘We are making it as easy as possible for people offering tuition and coaching to use this unique opportunity to put their tax affairs in order by making a full disclosure, and benefit from the best possible terms.
‘We are using various intelligence sources to identify and then target those who do not take advantage of this opportunity to declare their full income. The message is clear: contact us before we contact you.’
HMRC has commenced issuing Section 16 notices to various educational establishments to gather information on payments made to persons other than employees. Colleges that fail to comply with the demands in time will be subject to a £300 fine and a further daily fine.
This is another in a series of professions that HMRC have sort to target as it would appear they’ve had particular success in the past. Anyone who require’s further advice on this campaign should contact us directly in order that any declaration has maximised any missed tax saving opportunities.
About the Author
Mark Higham
Is the Managing Partner at Numero Accountancy LLP and an ACCA qualified accountant. Having spent time working in large Plc's and Private Limited Companies in Senior Finance roles Mark start his own practice in 2005. In this time Mark has been a finalist in Doncaster Chambers Entrepreneur Year and Numero have been finalists in the Rotherham Chamber New Business Start-Up and Most Innovative Use of Technology Awards.Posted on 25th October, 2011