CH114200 - Offshore matters: failure to notify penalties: definition of an offshore matter

An offshore matter results in a potential loss of revenue that is charged on or by reference to one of the following

  • Income arising from a source in a territory outside the UK. For example, the person may fail to notify chargeability to income tax in respect of interest arising on an overseas bank account.

  • Assets situated or held in a territory outside the UK. ‘Assets’ takes its meaning from TCGA92/S21(1) so it covers all forms of property. It includes

  • physical assets such as land and buildings
  • options, debts and incorporeal property generally, and
  • currency. Note that for these purposes currency includes sterling.
    For example, the person may own or dispose of land or buildings overseas. They may fail to notify chargeability to income tax in respect of the income from property or capital gains from disposals.
  • Activities carried on wholly or mainly in a territory outside the UK.
    For example, the person may fail to notify a taxable activity overseas.

  • Anything having effect as if it were income, assets or activities of a kind described above.

FA08/SCH41/PARA6A

TCGA92/S21(1)