Undeclared assets from overseas must be reported to HMRC by 30 September to avoid requirement to correct penalties

HMRC is urging UK taxpayers to declare any previously undisclosed foreign income or profits on offshore assets before 30 September to avoid tax penalties under the requirement to correct (RTC) legislation. This includes income from letting a property abroad transferring income and assets from one country to another or renting a UK property when living abroad.

After notifying HMRC of their intention to make a declaration taxpayers will have 90 days to make a full disclosure and pay any tax owed.

The Institute of Chartered Accountants in England and Wales Tax Faculty has raised concerns with HMRC over letters to taxpayers about the RTC. It is aware of there being two categories: specific detailed letters that are issued when there is an enquiry under way; and a one-page bulk mailing to other individuals.

The faculty and other professional bodies say the letters sent to taxpayers under...