A new ‘tax amnesty’ has been launched by HM Revenue and Customs (HMRC) in a bid to encourage fitness instructors to come forward with any undeclared liabilities.
HMRC’s Tax Catch Up Plan is aimed at those who currently profit from private tuition and instruction, either as a main or secondary income, on which correct tax has not been paid. The new crackdown will see private tutors and coaches given until 31 March 2012 to declare any outstanding tax liabilities for the years to 5 April 2010 and to pay what they owe.
HMRC said those who come forward ahead of the deadline would receive the “best possible terms”, which is “unlikely” to amount to more than a fifth of any outstanding tax debts. However, HMRC warned that anyone who does not come forward by 31 March 2012 are to incur “much higher penalties”, while criminal proceedings could also be pursued.
Marian Wilson, head of HMRC campaigns, said: “We are making it as easy as possible for people offering tuition and coaching to use this unique opportunity to put their tax affairs in order by making a full disclosure, and benefit from the best possible terms.”