Worldwide Disclosure Facility
(Offshore Income & Assets)
Do you have income, gains, or assets held outside the UK that have not been declared to HMRC? The Worldwide Disclosure Facility is HMRC’s designated route for bringing offshore tax affairs up to date — and acting now could make a significant difference to the penalties you face.
What Is the Worldwide Disclosure Facility?
The Worldwide Disclosure Facility (WDF) is a dedicated HMRC disclosure route for individuals and businesses with undeclared offshore income, gains, or assets. It has been open on a permanent basis since 2016 and is the required route for most offshore tax disclosures.
•Income from overseas bank or savings accounts •Rental income from properties held abroad •Gains from the sale of overseas investments or property •Income or gains from offshore trusts or companies •Overseas pension income •Inheritance from overseas estates •Undeclared foreign employment income
It covers a wide range of offshore matters, including:
Income from overseas bank or savings accounts
Rental income from properties held abroad
Gains from the sale of overseas investments or property
Income or gains from offshore trusts or companies
Overseas pension income
Inheritance from overseas estates
Undeclared foreign employment income
How Does HMRC Know About Offshore Accounts?
If your tax affairs are fully up to date
Under the Common Reporting Standard (CRS) — a global tax transparency initiative — over 100 countries now automatically exchange financial account information with HMRC each year. This includes details of account balances, interest, dividends, and other income paid to UK residents by overseas financial institutions.
HMRC also has bilateral information exchange agreements with the United States, the Channel Islands, the Isle of Man, and many other jurisdictions. If you have offshore accounts or assets, there is a very good chance HMRC already has data about them.
Offshore penalties are significantly higher than domestic ones. Where offshore non-compliance is found to be deliberate and involves a 'specified territory', penalties can reach 200% of the unpaid tax — reduced only where a voluntary disclosure has been made.
How We Help
Some nudge letters relating to offshore matters include a Certificate of Tax Position that HMRC asks you to sign and return. We strongly advise that you do not sign or return this certificate without first taking professional advice. The certificate covers an unlimited time period and signing it inaccurately — even inadvertently — can have serious consequences. This position is consistent with guidance issued by the Chartered Institute of Taxation. We will review your circumstances and advise on the appropriate response.
Offshore Tax Advice — Optima Accountants
Our team advises clients across the UK on offshore disclosures. Whether you have a single overseas bank account or a complex international tax position, we have the experience to guide you through the process. Contact us for a confidential, no-obligation consultation.
Our Approach
We understand offshore matters can feel sensitive and complex. Our approach is: Confidential and discreet Clear and structured Non-judgemental Focused on resolution and compliance
Contact Optima Accountants for a confidential discussion
We will help you understand your position and the correct way forward.
