UK residents with Swiss bank accounts are being warned that new landmark taxation arrangements are scheduled to come into force on 1 January next year.
The new tax agreement between the UK and Switzerland means that account holders must either provide full details to HM Revenue & Customs (HMRC) or pay over a proportion of the money in their account and a future withholding tax.
Exchequer Secretary David Gauke said:"The days when hiding money in Switzerland in order to evade tax are over. Burying your head in the sand is no longer an option.
"The only realistic strategy is to talk to HMRC, as quickly as possible."
Jennie Granger, HMRC director general, enforcement and compliance, said Swiss banks or accountants are writing to people affected by the agreement.
"Some may be asking customers to close their accounts. If this happens, UK residents must ensure that any outstanding tax liabilities are paid. Anyone in these circumstances is strongly advised to contact HMRC as soon as possible."
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