Advisers to face penalties for enabling tax evasion

Fines up to 100% of tax evaded

Victoria McKeever
clock • 2 min read

Under new rules taking effect in January, HM Revenue & Customs (HMRC) can charge advisers or their firms civil penalties if they are deemed to have enabled offshore tax evasion.

Advisers will now face fines of up to 100% of the amount evaded or £3000, depending which is highest, as well as being publicly named by the taxman.  The new sanctions, effective as of 1 January 2017, make accountants, bankers, lawyers and other advisers culpable for offshore tax evasion. HMRC previously released a consultation in August 2016, promising to ramp up evader sanctions.  Tax evasion is a criminal offence but HMRC can choose to impose fines on first-time offenders. The UK is one of the first countries in the world to introduce this power, which was originally announced a...

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

Why FCA's targeted support plans won't bridge the advice gap

Why FCA's targeted support plans won't bridge the advice gap

'It's our view that these plans would only be a sticking plaster solution to a much deeper, systemic problem'

Andy Wealthall
clock 24 July 2025 • 4 min read
FCA whistleblowing: Retail investments in top three sectors for cases

FCA whistleblowing: Retail investments in top three sectors for cases

Watchdog opened 205 retail investments whistleblowing cases last year

Jen Frost
clock 23 July 2025 • 4 min read
Prospectus Reform: How the FCA is dealing with mini-bond scandal ghosts

Prospectus Reform: How the FCA is dealing with mini-bond scandal ghosts

Focused on retail investor access to corporate bonds

Cristian Angeloni
clock 17 July 2025 • 3 min read