Tax avoiders face massive penalties after landmark Montpelier case

clock

Tax avoiders who try to use complicated schemes to cut their bills could face huge penalties after a landmark legal case.

A tax tribunal found that two company directors had been ‘negligent' in joining an avoidance scheme, the Daily Mail reports. The case adds will bolster the efforts of tax authorities, who are staging a wide-ranging clampdown on avoidance and targeting boutique accountancy firms that sell tax plans. In the past, those entering into avoidance schemes have only had to face the risk that the plans did not work and consequently having to pay the tax they had been trying to avoid. This made joining a tax scheme a one-way bet. Many schemes have been struck down by tribunals, with the memb...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Regulation

Regulators urged to hold pension transfer 'bad actors' to account

Regulators urged to hold pension transfer 'bad actors' to account

Advisers report ‘widespread and sometimes extreme delays’

Sahar Nazir
clock 24 November 2025 • 5 min read
FCA bids to save firms £100m a year with transaction reporting changes

FCA bids to save firms £100m a year with transaction reporting changes

Aiming to reduce costs and improve quality of data

Isabel Baxter
clock 21 November 2025 • 1 min read
Government to reconsider rejection of Waspi compensation

Government to reconsider rejection of Waspi compensation

Rethink does not guarantee that financial redress will be awarded

Jonathan Stapleton
clock 12 November 2025 • 3 min read