I’ve received an alarming letter from the Taxman about a private bank account I held in Switzerland from 2000 to 2005. I didn’t include the interest from that account on my tax return as I thought it wasn’t taxable in the UK. What should I do now?
The Taxman is writing to around 6,000 individuals and organizations that held accounts with a private bank in Geneva, based on a list of accounts stolen from that bank in 2006. Unless you had non-domicile status when you held your Swiss bank account, which may have permitted you to be taxed only on funds brought into the UK, you should have declared the Swiss account on your UK tax return. You need to come clean now and pay the tax due on your Swiss bank account interest to the UK tax office. If you delay, the Taxman will open a serious fraud inquiry into your tax affairs. Talk to us about how to confess all to the UK tax authorities.