Why to Avoid Tax Evasion > Risk of paying much more personal income tax in case of a sale
Are you a tax evader?
Can the financial penalties charged on a tax evader be amnestied? How?
The principal term of the financial penalty and interests charged on a tax evader
Risk of paying much more personal income tax in case of a sale
Risk of being paid very low compensation in case of nationalisation
Risk of re-mortgaging your property at a lower value
Risk of being involved in an anti-money laundering activity
Risk of being included in the black lists of financial organisations
Other important points
Suppose that, you sell out the property at £200,000 next year and the new owner refuses to evade tax.
a) If you have the actual purchase price declared to the municipality corrected, you will pay a personal income tax of approximately £66,000.(i.e. Effective Tax rate1 *£170,000 <---170,000= 200,000-30,000).b) If not, the tax will be approximately £38,000
(i.e. Effective Tax rate2 * £100,000 <----100,000=200,000-100,000)
tax/TAPU records corrected so as to make them show the actual payment made to the previous owner, you will save approximately £28,000.