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11 March 2011

Taxman offers 'amnesty' for plumbers

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Plumbers are being targeted by the taxman as part of a clampdown on tradespeople failing to declare their earnings with an amnesty offered on those who want to come forward with an intention to pay up.

Under the plumbers tax safe plan (PTSP), those who have tax to pay that they haven't told the HMRC about yet can come forward by May 31 and declare an intention to do so. This way they can avoid major penalties or even criminal prosecution.

If they make a full disclosure, most face a low penalty rate of 10%, with a maximum of 20%. They have until August 31 to make their disclosure and arrange for payment to be made.

After that date HMRC says it will it carry out 'targeted investigations' aimed at those who have failed to make a full declaration with substantial penalties or even criminal prosecutions on the cards.

The PTSP is the first initiative in a campaign focused on tradespeople designed to make it easy for them to out their tax affairs in order.

Mike Wells, HMRC's director of risk intelligence, said: "Our aim is to make it as easy as possible for plumbers to come forward, make a full disclosure and benefit from a reduced penalty.

"We will be using various intelligence sources to target plumbers who have not declared their full income. I strongly urge any in this group who think they may owe tax on their income to get in touch with HMRC and get their tax affairs in order simply and on the best available terms."

Plumbers can make disclosures online at:
www.hmrc.gov.uk/plumberstaxsafeplan

or by calling 0845 600 4507