"You do not need to have an asset in Liechtenstein"

The LDF is an arrangement between the Liechtenstein and UK governments. In return for Liechtenstein taking steps to check that its UK customers are tax compliant the UK government is offering special treatment for UK taxpayers who come forward to disclose offshore assets held at September 2009. The LDF has a number of benefits and represents an excellent opportunity for you to put your tax affairs in order;

• A limited period for which tax must be paid starting from 5 April 1999 (not the normal 20 years)
• A fixed penalty of 10% of the tax, the new maximum is 200%
• A centralised service with a fast tracked process
• Guaranteed immunity from prosecution

"potential exposure to IHT"

For more detailed information on the Liechtenstein Disclosure Facility please click here.

You do not need to have an asset in Liechtenstein to take part; a financial footprint can be created in Liechtenstein today in order to qualify. There are even benefits for those who did not have offshore assets at September 2009. A major difference with the LDF is the alternative basis for calculating tax liabilities agreed by HMRC known as the Composite Rate Option (CRO). With the CRO a flat 40% is paid on income and gains to cover all tax liabilities including Income Tax, Capital Gains Tax, VAT, SDLT and Inheritance Tax. IHT is often overlooked but can generate huge tax liabilities especially where assets have been settled into offshore trusts. With the CRO it is possible to reduce significantly the potential exposure to IHT in many circumstances and IHT lifetime transfer charges, anniversary charges and other chargeable events may be eliminated.

"may be eliminated"

We have handled many LDF cases and have enjoyed excellent results through our relationships in Liechtenstein and with HMRC. Speak to one of our advisors on a no names basis to understand how you may be able to take advantage of the LDF.

For details of our other Tax Resolution services please click here