Swiss tax obligations

lentrix92

Just got a tax bill in relation to swiss assets I hold. Bill is related to swis-uk tax agreement.

Question is - I am better to pay this bill - or make a voluntary disclosure ???

Help appreciated - thanks

Savvy_Sue

lentrix92 wrote: »

Just got a tax bill in relation to swiss assets I hold. Bill is related to swis-uk tax agreement.

Question is - I am better to pay this bill - or make a voluntary disclosure ???

Help appreciated - thanks

How can anyone answer that without any numbers? Because surely the question is "would you pay more or less tax than you've been asked to pay if you made the vol disclosure?"

Or am I missing something, never having been in the fortunate position of needing a Swiss bank account?

John_Pierpoint

If HMRC got to you before you got to HMRC, you probably need specialist advice.
Somewhere, legally in your records, there is a "true" figure of what you owe HMRC for each year you have been receiving income from Switzerland.
I have never been in receipt of untaxed income (capital gain?) from Switzerland, though I did receive some income from Dubai that caused some confusion, when reported on my modest domestic Self Assessment.
Is HMRC guestimating correctly, this year, last year,.........................?
Does HMRC know the truth the whole truth and nothing but the truth?
Is HMRC convinced that it knows "...... ".... "........ "...... ".. ".... " ..?
Is it a simple (one off) situation to explain to a person, to a computer?

antrobus

lentrix92 wrote: »

Just got a tax bill in relation to swiss assets I hold. Bill is related to swis-uk tax agreement.

Question is - I am better to pay this bill - or make a voluntary disclosure ???

Help appreciated - thanks

Allowing the Swiss authorities to apply the treaty is likely to be the most expensive option. Under the October 2011 agreement, a one-off deduction between 21 per cent and 41 per cent would be applied on May 31 2013 to the account balance as at December 31 2010. The precise percentage depends on how long the account was held and the level of funds deposited or withdrawn since 2003. The Swiss bank should be able to guide you as to what this percentage would be.

Going forward, the Swiss bank will levy withholding taxes at the highest rates of tax (current rates are 48 per cent on interest, 40 per cent on dividends and 27 per cent for capital gains). Most Swiss banks cannot refund this if account holders subsequently decide to opt for disclosure, meaning you will need to report your account on a UK tax return to claim a UK credit for the Swiss withholding tax.

This option allows you to retain anonymity, but there are no other guarantees – for example, the Swiss account could still be the subject of a tax enquiry or investigation by HMRC and you are not immune from prosecution.

http://www.ft.com/cms/s/0/49260924-58ea-11e2-b59d-00144feab49a.html

On the assumption that we're talking about more than sixpence here, I'd get an accountant to sort it out.

lentrix92

I am not a resident. It is in relation to shares I have in a swiss bank.

As of yet - I have not sold any shares - therefore ,I think, there is no cap gains to be paid. Once I do sell then I would be liable. Also I have previous losses to take into account...

Best see an accountant.......