We hear about people in the public eye who have been caught out by the taxman, you have probably read the highlights and thought, that doesn’t affect me.
In fact, 1000s of ordinary investors, the ‘Average Joe’s’ are getting caught up in the current tax avoidance crack down by the HM Revenue & Customs (HMRC).
Tax avoidance schemes have taken many forms over the years, but often involve the following:
- Creating artificial losses which are used to reduce tax, such as investing in film productions;
- Offshore companies or trusts;
- Complex arrangements involving the person’s own money being ‘loaned’ to them;
- Employee benefit trusts.
While some investors went into such schemes with their eyes wide open, fully understanding the risks, others have mis-placed their trust in their advisers who portrayed these schemes as risk free, legal ways of reducing their tax bill.
Were you advised to invest money into a scheme or product which was designed to save on the level of income tax paid but the scheme has now been declared as an illegal tax avoidance scheme?
Have you received a tax demand or incurred penalty fees from HM Revenue & Customs after investing into a ‘tax avoidance scheme’? Did your financial adviser fail to make you aware of the risks involved? If so, you may have been mis-advised and you may be able to raise a case of Professional Negligence against your advisor.
Our Dispute Resolution team are on hand to deal with such claims and can offer expert advice to help you deal with your situation. Contact Chris Else on 01283 526200 or chris.else@elselaw.co.uk for more information or to discuss your case.