Combatting Offshore Tax Evasion After Brexit EmilDuvessa SondajBandeen, Han Juliette Bowen, Mark O’Brien, Will Melling and Zeki Dolen Emil Sondaj Hansen,
economic activity takes place. In doing so, it would undermine the position of tax haven administrations and facilitate further measures to curb the problem. The UK, then, would be wise to heed both the intention and methods of developing countries on the issue of tax evasion.
IV.
UK DOMESTIC MEASURES
On top of being involved in international efforts, such as being a leader in the OECD’s adoption of the AEOI standard and CRS, the UK has also attempted to introduce domestic measures to curb tax evasion. Given Britain’s unique position in global tax evasion as documented in Section I.III., any strategy to combat international tax evasion must be accompanied by a series of domestic reform. This section sets out the context for the shift in domestic action, highlights the key measures adopted, and then evaluates some inherent problems that these measures have faced.
Reducing the tax gap, particularly through tackling tax evasion and avoidance, has been a high priority of the governments since 2010. The measures introduced since 2010 include tougher criminal and civil sanctions, a new disclosure programme for taxpayers to declare any liabilities for assets held offshore, arrangements for serial tax avoiders, harder measures to tackle promoters (marketers) of tax avoidance schemes, and special measures for large businesses and multinational corporations with a history for aggressive tax planning or non-cooperation with HMRC.240
The efforts of the 2015 Conservative government were intensified by the publication of the ‘Panama papers’ in April 2011. After this, David Cameron announced a new criminal offence that would create liability on the part of those high up in corporates if employees facilitate tax
240
Anthony Seely, ‘Tax Avoidance and Tax Evasion’, (April 2020) Commons Library Briefing Paper Number 7948, p72-80.
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www.thewilberforcesociety.co.uk
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