Taxation logo taxation mission text

Since 1927 the leading authority on tax law, practice and administration

Effect of avoidance schemes on company sale

18 April 2017 / Philip Fisher
Issue: 4595 / Categories: Comment & Analysis
istock-492426122_fmt

Horror double feature

KEY POINTS

  • Many entrepreneurs who entered tax avoidance schemes may have thought that at worst they would defer a liability.
  • Penalties are now assuming a more prominent importance.
  • Due diligence costs can be considerable if tax schemes were used by the target business.
  • The naming and shaming provisions may result in bad publicity even though a purchaser may not have been at fault.
  • Further complications may arise if there are offshore elements to tax arrangements.

Over the past few years there has been extensive media coverage of HMRC’s crackdown on an assortment of tax avoidance schemes some more palatable than others. The government has also jumped on the bandwagon with former prime minister David Cameron and his chancellor George Osborne publicly adding to the controversy...

If you or your firm subscribes to Taxation.co.uk, please click the login box below:

If you are not a subscriber but are a registered user or have a free trial, please enter your details in the following boxes:

Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this item in full.

Please reach out to customer services at +44 (0) 330 161 1234 or 'customer.services@lexisnexis.co.uk' for further assistance.

back to top icon