Tax avoiders face massive penalties after landmark Montpelier case

clock

Tax avoiders who try to use complicated schemes to cut their bills could face huge penalties after a landmark legal case.

A tax tribunal found that two company directors had been ‘negligent' in joining an avoidance scheme, the Daily Mail reports. The case adds will bolster the efforts of tax authorities, who are staging a wide-ranging clampdown on avoidance and targeting boutique accountancy firms that sell tax plans. In the past, those entering into avoidance schemes have only had to face the risk that the plans did not work and consequently having to pay the tax they had been trying to avoid. This made joining a tax scheme a one-way bet. Many schemes have been struck down by tribunals, with the memb...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Regulation

Court sets trial date in illegal financial promotions case

Court sets trial date in illegal financial promotions case

Lucy Beck pleads not guilty

Sophia Panayi
clock 31 July 2026 • 1 min read
FCA flags weak customer outcome focus in firms' monitoring frameworks

FCA flags weak customer outcome focus in firms' monitoring frameworks

Consumer Duty review found inconsistent governance and oversight

Sophia Panayi
clock 27 July 2026 • 2 min read
Open finance could pose 'existential threat' to advice market

Open finance could pose 'existential threat' to advice market

Consumer Duty Alliance tech forum attendees hear

Sophia Panayi
clock 23 July 2026 • 3 min read