HM Revenue & Customs is set to be handed new powers allowing it to force financial institutions to pass on information about people’s assets without a court order or the individual’s approval.
Banks, investment advisers, fund managers, credit unions, insurance companies and credit card issuers will be required to divulge information about their customers if served with a “financial institution notice” by HMRC, under measures contained in the next finance bill.
Currently HMRC can only ask a third party to provide information about an individual’s financial affairs if the person agrees or the tax tribunal approves the request.
The government wants to introduce the measures, which could be in force next year, to make it quicker and easier for HMRC to share information with foreign tax authorities, as part of a global effort to crack down on evasion and tax