that he made a payment to the tax office to settle a disagreement about his tax affairs. mr zahawi said hmrc accepted that an error concerning shares he gave to his father for help in setting up the polling company yougov in 2000 had been careless and not deliberate. it comes after newspaper reports that he d paid a seven figure sum and been subject to a penalty. it s understood the dispute over mr zahawi s taxes was resolved while he was serving as chancellor of the exchequer. earlier labour had called on nadim zahawi to resign. here s our political correspondent helen catt. nadhim zahawi is a seniorfigure in the government, the chairman of the conservative party, who sits in the cabinet. last year, he was for a few months borisjohnson s chancellor, in charge of the country s finances. is the hmrc still after you, sir? but since then, he s faced questions about his own financial affairs and claims he tried to avoid tax. over the summer, he dismissed claims that hmrc
when the inaccuracy relates to something that happens offshore the penalty legislation are a little bit more aggressive. they ll say i don t like this at all. the starting point goes up to 45%. gibraltar is what s called a category two territory so it s the middle range of penalties. it starts off at 45%, if you come forward without being asked about it then you can reduce that penalty. the minimum you will get it down to is 22 and a half percent. if i announce it is right and i think this all seems to stack up with what s in the public domain, he did come forward voluntarily the because of penalty for what they call prompted disclosure, so after hmrc had said, what is going on here? that is much higher. it s likely he came forward voluntarily, he was moderately cooperative, not 100%
computer system, which goes off and gets data from all sorts of places and marries that data up and spot anomalies that they are concerned about. but in fact, what we re led to believe in mr nadhim zahawi s case is that wasn t how all of this started. the suggestion is that nadhim zahawi went to hmrc, once he realised that there was a problem with this tax and came forward. and the rate of penalty and some of the information that is in the public domain suggests that that is true. he actually went to hmrc, approach them and said, look, i need to come clean, i need to tell you about it. when you say the rate of penalty for us to understand, in that case would he pay a higher penalty? we can t verify the exact figures but the guardian is reporting it was a penalty of 30%. the guardian is reporting it was a penalty of 3096-
the guardian is reporting it was a penalty of 3096. yes. that report is consistent with penalty of 3096. yes. that report is consistent with what penalty of 3096. yes. that report is consistent with what nadhim - penalty of 3096. yes. that report is l consistent with what nadhim zahawi said in his statement this afternoon. hmrc have agreed that his behaviour was careless and not deliberate. but the penalty legislation does, once you have a tax inquiry where you have come forward and said, i got a problem, right at the end of it hmrc have to go into a bit of a look and see were you careless in underpaying your tax for them had the penalty legislation works is fairly straightforward. you send a document to hmrc, which is inaccurate, as a result of that inaccuracy you ve underpaid your tax. the legislation then says we need to look at how this happened. were you careless, was it deliberate, did you send in a deliberately incorrect tax return was met or even worse did you deliberately
that he made a payment to the tax office to settle a disagreement about his tax affairs. mr zahawi said hmrc accepted that an error concerning shares he gave to his father for help in setting up the polling company yougov in 2000 had been careless and not deliberate. it comes after newspaper reports that he d paid a seven figure sum and been subject to a penalty. it s understood the dispute over mr zahawi s taxes was resolved while he was serving as chancellor of the exchequer. earlier labour had called on nadim zahawi to resign. here s our political correspondent helen catt. nadhim zahawi is a seniorfigure in the government, the chairman of the conservative party, who sits in the cabinet. last year, he was for a few months borisjohnson s chancellor, in charge of the country s finances. is the hmrc still after you, sir? but since then, he s faced questions about his own financial affairs and claims he tried to avoid tax. over the summer, he dismissed claims that hmrc was invest