29 05 2017

UK Conservatives To Target Tax Advisory Firms

The UK Conservative Party has outlined plans to "legislate for tougher regulation of tax advisory firms."

In its Manifesto last week, the ruling Conservative Party said: "We have taken vigorous action against tax avoidance and evasion, closing the tax gap the difference between the amount of tax due and the amount collected – to one of the lowest in the world."

"We will now go further. We will legislate for tougher regulation of tax advisory firms."

The party said it would also take further measures to reduce online fraud in value-added tax (VAT).

Last month the UK made law the Criminal Finances Bill, which will create a new criminal offence for corporations that fail to prevent their staff from facilitating tax evasion.

Enacted on April 27, the bill will make senior management responsible for introducing preventative measures to ensure their staff and also external agents and service providers do not facilitate tax evasion.

The legislation will make corporates liable not just for tax evasion facilitated by their employees but also external agents and service providers. It will also provide legal protections for the sharing of information between regulated companies and extends the time period granted to law enforcement agencies to investigate suspicious transactions.

The general election will take place on June 8.