Requirement To Correct Tax On Offshore Assets

Taxpayers have just over a month – until 30 September 2018 – to disclose to HMRC any undeclared UK tax liabilities on overseas income or assets under the Requirement to Correct (RTC) legislation.

Tough penalties will apply if HMRC discovers tax irregularities that have not been corrected by the deadline.

This is also the deadline by which HMRC will receive information from around 100 countries, under the Common Reporting Standard, on financial accounts held overseas by UK resident taxpayers. This information will enable HMRC to more easily detect tax irregularities in respect of overseas assets.

HMRC is encouraging taxpayers to review their tax affairs and to report any undisclosed liabilities before the deadline to avoid the heavy penalties that may be imposed if a taxpayer fails to correct and HMRC discovers an error after the deadline has passed.