Back in January, HMRC launched the ‘Tax Health Plan’ which would provide workers in particular sectors a time-limited opportunity to disclose undeclared taxes for a reduced penalty. The medical profession were the first to be offered the opportunity to take advantage of this offer. However, it is now understood that only 1,500 professionals in this sector have made disclosures to HMRC. Information was obtained by Revenue and Customs prior to the launch of this scheme which will allow them to pursue individuals who they believe have undeclared tax liabilities and who have not taken the opportunity to disclose them. Those individuals will face tougher penalties on top of repayment of the tax owed plus interest

The Chairman of the Chartered Institute of Taxation’s Management of Taxes committee commented on his surprise at the low take-up of this disclosure opportunity: “We understand that HMRC’s data suggested there were some 30,000 medical professionals who might have undisclosed tax liabilities. If only 1,500 have come forward, that is a considerable surprise and suggests that either many professionals are not taking this seriously – or of course that HMRC have failed to get their message across properly.”

Mr Ashford continued: “We have been told that HMRC will start using the full powers available to them for non-compliance in this area from August1st. Any medical professional with undisclosed tax liabilities really should take advantage of this brief window to take advice and start getting their affairs in order. It’s clear to us that HMRC are intending to come down hard on defaulters.”

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