First we saw a tax amnesty for individuals with offshore accounts, then last year H M Revenue and Customs targeted the medical profession. Now they have turned their focus to the local tradesman and have offered a tax amnesty to plumbers and heating engineers.

Known as the Plumbers Tax Safe Plan, H M Revenue and Customs have said that this amnesty is also open to other tradesmen i.e. bricklayers and electricians. So what does this mean?

A tax amnesty offers individuals who have perhaps not declared all of their income to come forward now and make full disclosure. In doing so, a far lower penalty will be applied. HMRC have made it clear that anyone who does not make use of this facility who is later found to be evading tax, will suffer far more serious consequences.

Dates to remember:

Notification to HMRC of intention to disclose - must be done by 31 May 2011

Disclosure and tax paid to HMRC - by 31 August 2011

Unlike other disclosure facilities, HMRC have said that they will only look back over the last 5 years. EQ have significant experience in the negotiation of Tax Enquiries with HMRC, and a particular expertise in supporting the construction industry. Contact either of our offices if you would like to discuss how we could help you.