The 2019 retrospective tax charge is said to be applicable to 40,000 people (HMRC figure).
It has to be assumed that this is the count of those who have not so far settled.
We have done a quick calculation of how many clients each of the known agents still active in this sector might have.
Being generous, we count around 10,000.
That leaves 30,000 people who either:
- have no idea what is coming (perhaps HMRC has forgotten them)
- know what is coming but are prepared to tough it out
- cannot afford representation
Worryingly, HMRC calculate that the tax at stake averages around £50k per person.
Our client base is showing an average considerably more than that.
If the 30,000 are all at less tax at stake than the average that may explain why they have no agent (cost being a key feature).
However I fear that there is going to be significant blood spilt here which HMRC will carefully step around claiming that it's nothing to do with them.