Inheritance tax is currently subject to relatively few disclosure rules, and the move is designed to prevent wealthy people from creating and entering inheritance tax avoidance schemes.
The paper states that HMRC officers would be able to pursue payments whilst people are still alive if they are suspected of being involved in a tax avoidance scheme.
A spokesman for HMRC revealed that only a “very small number” of wealthy individuals would be affected and the powers would be utilised in cases where “deliberate” actions had been taken.
“There is a risk that IHT inheritance tax attracts those who wish to abuse the tax system by engaging in tax avoidance activity,” said HMRC.
But they also added that they do not want to inadvertently impact on reliefs and exemptions that “are used legitimately in many arrangements by the vast majority of people”.
If you are implicated in a tax avoidance scheme, contact KinsellaTax today on 0800 471 4546 to speak to one of our dedicated tax investigation experts.