SolvedCH181120 | Dishonest tax agents: determining dishonest conduct: what is dishonest conduct
From HM Revenue & Customs · Compliance Handbook
An individual engages in ‘dishonest conduct’ if, in the course of acting as a tax agent, that individual does something dishonest with a view to bringing about a loss of tax revenue.
‘Dishonest’ takes its ordinary meaning. Dishonest conduct includes
dishonestly doing something,
dishonestly omitting to do something, and
advising or assisting a client to do something that the tax agent knows to be dishonest.
See CH181140 for guidance on the meaning of dishonesty.
It does not matter whether a loss of tax revenue actually occurs.
It also does not matter whether or not the individual is acting on the instruction of clients.
A ‘loss of tax revenue’ means that the client
accounts for less tax than they are required to account for by law
obtains more tax relief than they are entitled to obtain by law
accounts for tax later than they are required to account for it by law, or
obtains tax relief earlier than they are entitled to obtain it by law.
‘Tax relief’ includes
any exemption from, or deduction or credit against or in respect of, tax, and
any repayment of tax.
Operational guidance gives examples of what we consider to be dishonest conduct at CH880200 and has guidance on how we establish dishonest conduct at CH881000+.