Her Majesty’s Revenue and Customs (HMRC)
estimates it will raise £3bn ($4,65bn) in unpaid taxes from
undeclared UK wealth held in Liechtenstein by 2016.
The UK tax authority said that, since the
signature of the Liechtenstein Disclosure Facility (LDF) in August
2009, 2,400 people have come forward to disclose the assets held in
the European Principality, going well beyond HMRC’s initial
“HMRC originally estimated the number of
people who would register for the disclosure facility at 2,000, and
that it would probably produce £1 billion,” said Dave Hartnett,
permanent secretary for tax at HMRC.
5000 Britons hide money in
So far under the LDF, which duration was
extended in February to April 2016, a total of £363m have been paid
in tax bills.
The scheme allows people hiding money in
Liechtenstein to pay just 10% of the tax owed without being
prosecuted for tax evasion.
The due amount is calculated on the tax evaded
since 1999 and interest is to be paid.
5000 British taxpayers are understood to be
holding money in Liechtenstein.
UK secures DTA with
European country still standing.
The figures were released as the UK signed a
double taxation agreement (DTA) with the Liechtenstein.
Exchequer Secretary, David Gauke, said: “The
UK has the largest tax treaty network in the world but, until now,
Liechtenstein was the only country in the European Economic Area we
had no agreement with.
“This new treaty, and the existing disclosure
facility, show that the net is closing on those who try to evade
their UK tax liabilities by using offshore structures – there are
fewer and fewer places to hide” he said.