UK draft bill put anyone giving tax advice at risk of £5,000 fine

Discussion in 'Wall St. News' started by LeeD, May 4, 2010.

  1. LeeD


    Anybody who advises a friend to take out an Isa or gives them a similar tax-saving tip risks a £5,000 fine, experts warned yesterday.

    They attacked proposed 'Big Brother' powers for HM Revenue and Customs which could ensnare those simply trying to help a friend, relative or colleague to cut their tax bill.

    Innocent victims could include a person who mentions to a friend in the pub that an Isa is a way of saving £10,200 a year tax-free.

    Even a vicar who encourages the congregation to donate money using the Gift Aid envelopes, rather than putting cash straight into the Sunday collection, may fall into the trap.

    Charities could also be hit by the draconian new 'tax avoidance' law, experts claim.

    It will make it an offence to hold any conversation - even in private, with friends - if it offers clues on how to pay less tax.

    The Chartered Institute of Taxation called for the draft Bill containing the powers to be 'torn up'.

    Tax policy director John Whiting said the rules are 'patently absurd' and must be rewritten - or risk turning people who are trying to help into criminals.

    Experts accuse HMRC of trying to grab as much tax as possible to help fill the black hole in the nation's finances.

    The proposed rules are contained in the Tax Agents: Deliberate Wrongdoing draft Bill, which is trying to crack down on any 'tax agent' whose advice leads to a 'loss of tax' for HMRC.

    Daily Mail
    Chartered Institute of Taxation
  2. wtf THIS IS RIDICULOUS, time to move out of the UK
  3. zdreg


    there are so many reasons to move out of the UK.
    why haven't you done so?
  4. LeeD


    Apparently, not everyone likes sunny weather... or low taxes.
  5. If you read the article, it only applies to fraudulent advice, not normal advice. Basically the entire story is BS.

    However, there are plenty of other reasons to move out of the UK already lol.
  6. LeeD


    That's what the taxmen who put the bill forward claim the bill should do... but that's not what the bill says.

    The actuall draft bill carefully omits the element of "fraud" and thus covers any tax advice given 'otherwise than in the course of business'. So, accontants and bankers are excluded but anyone else who gives advice on how to legitimately lower tax is liable for the £5,000 and any tax saved thanks to the advice.
  7. That's bullshit. I don't believe that would be passed in the UK. If they do I am moving out of here, as that would be the first big attempt to strip us of basic rights of free speech, especially when they themselves made ISA available to all & also make it public information on their own web site!!!
  8. LeeD


    It's a draft bill. Let's hope after tomorrow's general election it will be 'torn up' as The Chartered Institute of Taxation report sugested.

    Not the first. Watch documentary Taking Liberties that was shown on Channel 4. Among other things it shows how Terrorism Act (2006) that allows police stop, search and detain without reasonable suspicion in areas designated at will (such as the whole of Greater London) is used to undemine free speech and block peaceful protests.

    One of the things not covered in documentary is the activity of Fixated Threat Assessment Centre (FTAC) that has the power to declare people 'mentally unstable' and "can legally detain people for an indefinite period without trial, criminal charges or even evidence of a crime being committed and with very limited rights of appeal." Times, Daily Mail, and story of Maurice Kirk. Wikipedia lists FTAC in the Political prisoner article.
  9. zdreg


    start a thread on the subject of moving out of the UK..
  10. LeeD


    Have you already followed this route?
    #10     May 6, 2010