Consultation outcome

Strengthening tax avoidance sanctions and deterrents: discussion document

This consultation has concluded

Download the full outcome

Detail of outcome

This document provides a summary of responses to our consultation on sanctions and deterrents for enablers and users of tax avoidance which is defeated by HMRC.

The following proposals will be taken forward:

  • the introduction of a penalty for those who design, sell or otherwise enable the use of tax avoidance arrangements which are defeated by HMRC

  • the removal of the defence of having relied on non-independent advice as evidence of taking “reasonable care” when considering penalties for taxpayers who use such avoidance schemes which HMRC defeats

Original consultation

This consultation ran from to


Proposals for sanctions for enablers and users of tax avoidance which is defeated by HMRC and consideration of further ways to influence those contemplating tax avoidance.


Consultation description

As announced at Budget 2016, this consultation proposes a new penalty for those who enable tax avoidance and changes to the existing penalty legislation which applies to those who use avoidance which is defeated.

It also provides an overview of the chain of decisions avoidance users face as they consider trying to avoid tax and considers how best to influence these decisions.