The Liechtenstein Disclosure Facility (LDF) will be extended until 5 April 2016 as the number of disclosures has exceeded the UK’s government expectations.
The tax disclosure programme was introduced in 2009 to help UK citizens to legitimise their past tax affairs and ensure that they are tax-compliant for the future, HM Revenue & Customs (HMRC) said.
There have been more than 2,000 disclosures so far, 700 of which were recorded in the last seven months.
Average disclosure £200,000-£300,000
In July last year, an HMRC spokesman told PBI there were 1,300 account holders registered with the LDF with the average settlement of £200,000 to £300,000 ($318,015 to $477,000).
UK taxpayers who take part in the LDF can decide whether to pay a single one-off rate of 40% or to calculate actual liability on an annual basis.
A 10% fixed penalty applies on the underpaid liabilities but the assessment period is limited to 1 April 1999.