The Government has warned it will 'name and shame' wealthy people who avoid tax, as part of an initiative to curb tax avoidance to be announced today.
The move follows high profile cases of tax avoidance in the press lately, whereby financial advisers persuaded wealthy people to use legal loopholes to avoid paying large tax bills.
Under the proposals, all financial firms will have to disclose details on clients on their books and those who have taken advantage of tax avoidance schemes. Failure to adhere to these rules could result in penalties of up to £1 million.
Tax avoidance schemes are legal, but have been dubbed 'morally wrong' and 'unfair' by MPs.
Treasury minister, Mr Gauke, said: "These schemes damage our ability to fund public services and provide support to those who need it. They harm businesses by distorting competition. They damage public confidence.
"They undermine the actions of the vast majority of taxpayers, who pay more in tax as a consequence of others enjoying a free ride."
Find the best savings rates for you - Compare savings accounts
Get your FREE Moneyfacts Tax Table 2012/13
Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.
Moneyfacts.co.uk will, like most other websites, place cookies onto your computer’s
hard drive. This includes tracking cookies.