Using A Trusted Accountant

Using a trusted accountant in Poole, Dorset, Broadstone and Surroundings

If you read the newspapers, or watch TV, you will notice ongoing discussions about giant corporations, such as Google and Starbucks, and how they pay their taxes. In some circumstances it has been found that the financial consultants advising these businesses are finding ways to avoid payment of taxes within the UK, recommending schemes to invest offshore, for example. Until now, there have not been any guidelines on how to manage those who advise businesses on how to avoid taxes. But choosing a trusted accountant is more important than ever now that the government has promised a clamp down on tax cheats.

Maintaining Professional Standards As Accountants

HMRC has issued a consultation document, which proposes that accountants and tax advisors could be fined up to 100 per cent of underpaid tax if found guilty of tax evasion. This includes recommendation of schemes that intentionally avoid the payment of tax in the UK.

Jane Ellison, Financial Secretary to the Treasury, said “The vast majority of (tax evasion) schemes don’t work and can land their users in court facing large tax bills and other costs.”

As part of the new rules the onus will be on tax evaders to prove they have taken reasonable care to ensure their tax returns are accurate. Financial advisors and accountants should have a duty to ensure that their clients are paying the correct amount of tax and are not intentionally breaking the law. When this is not the case, the consequences can be serious.

HMRC have recently won court rulings against Stagecoach, who were advised by KPMG. The company tried to save £11 million in corporation tax under a scheme that was ruled as illegal. The brewery company Greene King will also have to pay back around £30 million after using a tax avoidance scheme devised by Ernst and Young.

The stress, cost and loss of reputation caused by using tax schemes that could later be found to be illegal can be avoided by using a reputable and trustworthy accountant.

If you are seeking to organise your taxes, file a tax return or manage your business accountants with reputed accountants, look no further that Dorset based Newton Magnus. By using Newton Magnus Accountants, you can be assured that your financial matters are handled professionally, efficiently and legally, so there will be no nasty surprise visits from HMRC.