prosecution policy

[agonyaunt]

I have advised a friend to come clean with the taxman as he has undeclared income on a rental property.The problem is this stems over at least 6 years and I reckon he owes them about £3k.the stumbling block is he thinks they will just lock him up and throw away the key!.I have told him to get proffessional advice as I am not an accountant.Does anybody specialise in this area and what would the likely outcome be.Thanks.Agony Aunt.

[johnfkavanagh]

He should certainly declare the income. The Revenue has a policy of selective prosecution and if it were currently fashinable to wear hats, I would certainly eat mine if they even thought about prosecution in your friend's case! They will look for interest and penalties but even these will be less if he makes a voluntary and complete disclosure.

John Kavanagh
UK Tax Consulting Ltd
Chartered Tax Advisers
www.uktaxconsulting.co.uk
mail@uktaxconsulting.com
Tel: 020 7060 1660
Fax: 020 7060 1663

[agonyaunt]

Thanks for the info - I will pass the info on and give him your details. Perhaps he should invest in computer - would it be tax detuctable!!