Consultation on tackling tax evasion

20 April 2016

The new offence would be committed where a person acting on behalf of the corporation criminally facilitated tax evasion. The requirement that the person be acting on behalf of the corporation means that the offence would be committed where an employee, during the course of his work, facilitated tax evasion by a customer of the corporation.

The purpose of this consultation Tackling tax evasion: legislation and guidance for a corporate offence of failure to prevent the criminal facilitation of tax evasion is to receive views from interested parties on how the new corporate offence outlined in HMRC’s response document (December 2015) is best expressed in statute and guidance.

This consultation is not seeking feedback on the policy of introducing a new corporate criminal offence, which was covered in an earlier consultation (July – October 2015).

The Government recognise that stakeholders may have comments on the new offence that are more relevant to the guidance than the legislation. It is therefore important that the draft clauses and the draft guidance are considered together.

In the previous round of consultation some stakeholders offered real life examples of how the offence would impact their organisation and its interactions with their existing obligations.

These real life examples are particularly helpful and the Government welcomes further input from stakeholders, particularly on how they currently approach due diligence in relation to the acts of those providing services on their behalf.

Closing date for comments on this consultation is 10 July 2016.