The Worldwide Disclosure Facility (WDF) is a voluntary service offered by the UK tax authorities (HMRC) to individuals and businesses who have previously hidden their assets and income from the taxman. It allows them to disclose their offshore assets and income to HMRC and pay the tax that is due, without facing penalties or prosecution.
The Worldwide Disclosure Facility is open to anyone who has previously hidden their assets or income from HMRC, regardless of where they live or where their assets are held. This includes individuals, businesses, and trusts.
The main benefit of using the Worldwide Disclosure Facility is that it allows you to disclose your offshore assets and income to HMRC without facing penalties or prosecution. This can save you a significant amount of money, as penalties can be up to 100% of the tax that is owed.
Another benefit of using the WDF is that it can give you peace of mind. Knowing that your tax affairs are in order can be a great relief, and it can allow you to focus on other things.
To use the Worldwide Disclosure Facility, you must first make a full and accurate disclosure of your offshore assets and income to HMRC. You must also pay any tax that is owed.
Once you have made a disclosure, HMRC will review it and decide whether to accept it. If HMRC accepts your disclosure, you will be issued with a certificate of closure. This certificate will confirm that you have disclosed all of your offshore assets and income to HMRC, and that you have paid all of the tax that is owed.
A lawyer can help you with the WDF in a number of ways. They can:
Using a lawyer to help you with the WDF can be a wise decision. Lawyers have the experience and knowledge to help you to navigate the complex WDF process. They can also help you to protect your interests and ensure that you are treated fairly by HMRC.
The cost of using a solicitor for the WDF will vary depending on the complexity of your case and the amount of work that is involved.
The WDF process can take several months, depending on the complexity of your case and the workload of HMRC. However, most cases are resolved within six months.
If HMRC does not accept your disclosure, they may open an investigation into your tax affairs. This could lead to penalties and prosecution.
If you are not sure whether HMRC will accept your disclosure, you should speak to a lawyer. Jeremy Gordon can advise you on the best course of action.