Treasury delays new money laundering regulations

On 31 October the Treasury announced a last minute delay in the introduction of new money laundering regulations. See here for details: Treasury announcement

This delay comes just a week after a Treasury Minister confirmed in Parliament that the new regulations were due to be issued very shortly.

It seems likely that this last minute turnaround reflects a late recognition of the concerns expressed by accountants and other professionals as to the practicalities of having to report even the smallest cases of apparent tax evasion. Having previously been unable to persuade the Government to allow a de-minimis cut off level on reports some accountants were pressing the profession to swamp the system by reporting each and every possible case of possible tax evasion.

It seems as if this threat plus last minute representations by accountants and tax advisers may have forced a reality check on the Treasury.

For our earlier article on the problems that these proposed regulations were likely to create see here:

Money Laundering Regulations