Health tax amnesty extended - with harsher terms

Dentists and doctors who failed to disclose untaxed income under the health tax amnesty, which ended 30 June, will be given until 1 September to make a disclosure that will benefit from a reduced penalty.

Around 1,500 disclosures were made by health professionals to HMRC under the disclosure scheme, out of a predicted 28,500 who the taxman believed needed to declare taxable income.

The channels to declare under the scheme are now closed, yet disclosures will still be accepted - albeit not benefitting from the 10% guaranteed penalty under the original plan. However, it will be less than the usual 40%+ under an investigation.

Investigations will be looking at prosecution from the outset – particularly where hidden payments are involved, a source from HMRC told Accountancy Age.

Further reading:

Only 1,500 declare under health tax amnesty