Tyas & Company Chartered Accountants, Crawley
HMRC target undeclared income of electricians
The Tax Safe Plan for electricians is a unique time-limited opportunity for you to tell HM Revenue & Customs (HMRC) between now and 15 May 2012, about any unreported income you have received and also pay what you owe.
By making a disclosure under the Tax Safe Plan you will benefit from the best possible terms.
You will need to tell HMRC by 15 May 2012 that you intend to make a disclosure.
If you are paid for providing electrical services and tax is not deducted and you don't include that income on a Self Assessment tax return, or have an adjustment already in your tax code, then you need to use this plan to tell HMRC about that income now.
And if you owe tax in respect of anything else such as capital gains or rental income you can use the “Tax Safe Plan” to tell HMRC about that too.
What happens if you don't tell HMRC?
HMRC is using legal powers to obtain information about payments made to electricians.
After 15 May 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 carries out criminal investigations into any customers whose circumstances meet the criteria within HMRC criminal investigation policy and when this leads to prosecution HMRC will seek the maximum publicity to discourage others from failing to pay the right tax on time. HMRC does not believe that it is fair for the compliant majority to pay for those who cheat their taxes.