The CIOT has urged HMRC to apply the proposed new corporate offence of failure to prevent the criminal facilitation of tax evasion only in significant cases involving large organisations.
Responding to HMRC’s consultation on the proposals, Glyn Fullelove, chair of CIOT’s technical committee, said that tax professionals do not wish to see ‘the serious nature of a criminal prosecution downgraded by prosecutions in relatively small cases that simply add an extra fine on top of civil penalties’.
The CIOT calls on HMRC to consider delaying the 1 September 2017 introduction, giving it more time to consider matters such as how the new criminal sanctions will sit alongside civil penalties currently in place for corporate cases of tax avoidance. The government must provide ‘clear and unmistakable guidance’ for corporations. Fullelove said: ‘It is very important that companies can properly assess the procedures they will need to put in place to have a statutory defence.’
The CIOT has urged HMRC to apply the proposed new corporate offence of failure to prevent the criminal facilitation of tax evasion only in significant cases involving large organisations.
Responding to HMRC’s consultation on the proposals, Glyn Fullelove, chair of CIOT’s technical committee, said that tax professionals do not wish to see ‘the serious nature of a criminal prosecution downgraded by prosecutions in relatively small cases that simply add an extra fine on top of civil penalties’.
The CIOT calls on HMRC to consider delaying the 1 September 2017 introduction, giving it more time to consider matters such as how the new criminal sanctions will sit alongside civil penalties currently in place for corporate cases of tax avoidance. The government must provide ‘clear and unmistakable guidance’ for corporations. Fullelove said: ‘It is very important that companies can properly assess the procedures they will need to put in place to have a statutory defence.’
