| answer text |
<p>Banks, building societies and other financial institutions are required to provide
a variety of information returns to HM Revenue and Customs (HMRC) on an accurate and
timely basis. They are subject to HMRC’s usual compliance processes and if the information
provided is late or found to be inaccurate following a compliance check, the taxpayer
may be subject to penalties.</p><p> </p><p>The UK’s largest businesses, which includes
many financial institutions, are subject to an enhanced risk review, as part of HMRC’s
Business Risk Review process.</p><p> </p><p>In addition to this, over 98% of banks
and building societies are signatories to the Code of Practice on Taxation for Banks.
Their commitments under the Code include complying with their tax obligations, which
include providing accurate information to HMRC, as well as maintaining a transparent
relationship with HMRC. If a signatory is found to be in breach of these commitments,
HMRC are able to disclose this, naming the bank in their annual report on the Code.</p>
|
|
