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Markel Tax

22 Feb 2017

Autumn Budget 2017: Extension of security deposit legislation

HMRC currently has the power to ask for a security deposit in connection with PAYE/NIC and VAT where it is considered that there is tax at risk.

HMRC intends to extend the security deposit legislation to include corporation tax and Construction Industry Scheme (CIS) deductions on or after 6 April 2019.

A consultation document will be issued in Spring 2018 on the steps to be taken to introduce these changes.

The proposed extension of the security deposit legislation will impact businesses where HMRC believe there is tax at risk, for example where the owners or principals were previously involved in a business that went into liquidation with debts to HMRC. If the deposit is not paid, the individuals concerned could be fined up to £5,000 for each offence.

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22 Feb 2017

Autumn Budget 2017: Time limits extended for offshore non-compliance