Taxman urges action over anomalies

Scrutiny of off-Island income to increase

Treasury's Income Tax Division is offering guidance to local residents concerned about increasing scrutiny of their off-Island income.  

New global standards of tax co operation mean the government is receiving information from an ever-growing number of financial institutions.

Details of interest earned is already supplied by local banks - later this year, US financial institutions will follow suit while in 2016, the Manx authorities will receive more detailed information from the UK on a much wider range of financial products and income sources.

Enquiries are prompted when that information does not tally with what's been declared on tax returns - and recently, some Island residents have had letters from the taxman querying material differences.

Anyone receiving such a letter is urged to check their records and contact the Income Tax Division, which has promised to treat genuine mistakes fairly and with respect.

But if you don't come forward voluntarily and an anomaly is found, you can expect to face a penalty and interest charges on top of any additional tax payable.