What does the Proceeds of Crime Act have to do with contracting? Well, it relates to money-laundering. Accountants must now report any suspicions about clients' money laundering to the National Criminal Intelligence Service (NCIS), or face criminal prosecution themselves.
'Money laundering' encompasses criminal acts – and tax evasion qualifies as a criminal act. So not only do accountants have to report suspicions of clients' current activities, but their past activities and the activities of related third parties, too.
The following become nightmare scenarios, because in each instance your accountant is obliged to report you to NCIS:
- Your accountant says you fall under IR35 provisions, but you disagree.
- Your new accountant thinks your last one failed to spot your IR35 obligations.
- Your accountant thinks you were subject to IR35 in the past, but you aren't prepared to rectify it.
- You genuinely forget to include a taxable benefit on your P11D.
So join Tarpon, and stay safe.
To speak to one of our tax experts call 0845 643 1580.