On 19 February 2013, the United Kingdom and the Isle of Man agreed measures between them to combat tax evasion. The package covers both the automatic exchange of information and a disclosure facility.
The disclosure facility runs from April 2013 until September 2016. Taxpayers with liabilities arising from 1999 will be given the opportunity to disclose these to HMRC and to pay any tax due. There will be a guaranteed penalty rate ﾖ 10% for returns that were to be filed by April 2009, and 20% for those thereafter.
Under the automatic exchange of information agreement, the Isle of Man will report annually to the United Kingdom on a wide range of information pertaining to UK resident taxpayers with accounts in the Isle of Man.
