HMRC ‘s are targeting people who have sold their second home and not notified them of any profit, in a clamp down on property tax evasion.
The Property Sales Campaign is looking into the sale of properties within the UK and overseas, where capital gains tax should have been paid on profits made. They are also looking into properties people have sold that were given to them or the sale of holiday homes.
HMRC have a deadline of 9 August in place, while any liabilities are due to be paid by 6 September and settled on the best possible terms for any taxpayer who comes forward and discloses undeclared profits.
HMRC’s head of campaigns Marian Wilson said: “It is better to come to us before we come to you. After the opportunity closes on 6 September, HMRC will use information it holds about property sales, in the UK and abroad, to identify people who have not paid what they owe. Penalties – or even criminal prosecution – could follow.”
HMRC campaigns have raised £547m from voluntary disclosures, while £140m has been brought in through follow-up activity, including around 20,000 investigations.
Previous campaigns by HMRC have targeted offshore investments, medical professionals, plumbers, VAT defaulters, coaches and tutors, electricians, online traders and higher rate taxpayers with outstanding tax returns and there are also 13 criminal investigations underway, with five convictions already secured.