HMRC Offer T-CUP to Tutors and Coaches

. . . And no it’s not time to put the kettle on

What is the T-CUP?

The T-CUP (or Tax Catch Up Plan) is another HMRC initiative to encourage those with undisclosed income to come forward. This one is directed at tutors and coaches who will receive favourable terms if they make HMRC aware of their intention to make a disclosure by 6th January 2012, and make their disclosure by 31st March 2012.

Who Qualifies?

The Tax Catch Up Plan is an opportunity open to those delivering tuition and coaching with undisclosed taxes and duties. This includes companies as well as individuals

What are the benefits?

The ‘favourable terms’ offered include a penalty of either 0%, 10% or 20% depending on the circumstances of the disclosure, and the chance to include all income and gains, not just tuition and coaching income.

What is the Risk?

HMRC use their legal powers to obtain information from various sources including the academic, sport and leisure sectors. It is likely they hold significant information already and will contact those who do not take part in this disclosure opportunity. If this happens the favourable terms will no longer apply and penalties of up to 100% can be charged. Criminal prosecution is also possible. We have already seen plumbers being arrested after not taking up the chance to use the ‘Plumbers Tax Safe Plan’.

What Should I Do Now?

If you think you qualify, or you are an accountant and believe this may be relevant to any of your clients please contact AVN Venus Tax on 0113 823 2861 or email ryan@avnvenustax.co.uk .

Even if you are not a tutor or coach you should still contact us to make the best disclosure possible on your behalf.