Posted by James Pearson on 10 Oct 2013

Health and Wellbeing Tax Plan

HM Revenue & Customs (HMRC) have announced a new health & wellbeing tax plan campaign aimed at healthcare professionals (other than doctors and dentists) which are due to run from 7 October 2013 until 6 April 2014.

Although not an exhaustive list, the campaign will target professionals working in the following areas:-

  • Physical therapy: e.g. physiotherapist, chiropractor, chiropodist, osteopath, occupational therapist.
  • Alternative medicine or therapy: e.g. homeopathy, acupuncture, nutritional therapy, reflexology, nutrition.
  • Other therapy: e.g. psychology, speech therapy, art therapy.

If you work in one of the above specialisms, and have undisclosed income and have therefore  not paid the right amount of tax, under the Health & Wellbeing Tax Plan campaign you now have the opportunity to notify, disclose and pay what you owe. As well as income tax and National Insurance, you will also need to consider whether you should have registered for VAT and charged VAT on goods or services that you have provided.

Healthcare Professionals to Notify their Intention

HMRC has set a date of 31 December 2013 for healthcare professionals to notify their intention to disclose any undeclared ‘income, gains and undisclosed liabilities’. After the notification has been made, the disclosure has to be quantified and any tax, interest, and penalty arising has to be paid by 6 April 2014.

HMRC have said that after 6 April 2014, in the absence of a disclosure, it is their intention to use the information they hold about payments to healthcare professionals, to identify people who have not paid the appropriate tax. These individuals will face higher penalties and also possible criminal prosecution.

Managing HMRC Disclosures

We have extensive experience in our team of managing HMRC disclosures, involving both UK and foreign sited income and gains. If engaged we will ensure you pay no more than you need to in terms of tax and penalties.

Contact Tax Innovations

If you would like any advice regarding the above article or would simply like to discuss other ways in which we could help you or your business, please contact us on 01962 856 990 or customerservice@taxinnovations.com.

 

See also…

Tax Clearances

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