News & Views Tax Planning NHS Doctors & Dentists: Tax Evasion Targets
NHS Doctors And Dentists: Tax Evasion TargetsWhat happens post amnesty?In a bid to tackle tax evasion which loses the economy around £3billion a year, HM Revenue and Customs (HMRC) inspectors moved their attention in January of this year from blue collar workers, such as publicans and taxi drivers, to the accounts of white collar professional workers earning more than £100,000. Stating that a “significant” minority of medical professionals was engaged in tax evasion, doctors and dentists were unveiled as the first group being targeted by HM Revenue and Customs inspectors in a campaign that was dubbed the “professionals campaign” by tax inspectors. Examples included not declaring fees for private work done for medical care providers, payments for private consultation work or cash sums for drafting medical reports. Under a three-month 'amnesty', hospital consultants, GPs and dentists were given until the 31st March 2010 to make a voluntary disclosure about any income they have not previously declared to HMRC. Since that deadline has well and truly passed, anyone who now refuses to reveal their unpaid earnings may face criminal prosecution. They could also find themselves 'named and shamed' on HMRC’s website. In certain circumstances, those found guilty of tax evasion could face a prison sentence of up to 7 years. Potential tax evaders could be tracked down by examining their previous tax returns, which might reveal that their latest tax situation was wrong. Are your tax affairs up-to-date? Are you taking advantage of the tax breaks available to you? Could you reduce your tax bill further? Article by Andy Carr  |