Time running out for plumbers' tax amnesty

Thousands of plumbers are being warned that time is running out to take advantage of a tax amnesty and avoid investigation.

Around 50,000 plumbers, gas fitters and heating engineers are receiving letters from HM Revenue and Customs (HMRC) telling them they have just weeks left to take up its short-term amnesty scheme.

Under the Plumbers' Tax Safe Plan, unveiled in March, workers in the plumbing, gas fitting and heating industries were given until 31 May to declare any unpaid tax.

HMRC said most people making a full disclosure face a reduced penalty of 10 per cent of the tax they owe, with a maximum penalty of 20 per cent. Those coming forward have until 31 August to disclose their full liabilities and arrange payments.

HMRC is threatening aggressive pursuit of those who fail to declare earnings and pay what they owe, with many investigations likely to result in large penalties or even criminal charges.

Mike Wells, director of risk and intelligence at HMRC, said: "We are using a variety of intelligence sources to target plumbers who have not declared their full income and I urge tradespeople in this group who think they owe tax on their income to get in touch with HMRC and get their tax affairs in order simply and on the best available terms."

Those wanting to inform HMRC that they intend to make a disclosure can call 0845 600 4507 or visit www.hmrc.gov.uk/plumberstaxsafeplan.

"We do not think everyone who receives a letter owes us tax. However, if you owe tax and don't get a letter, do not assume that HMRC will not catch up with you," Wells warned.