LIECHTENSTEIN's tax deal of ‘disclosure opportunity' with the UK has flushed out 2000 tax evaders, who have failed to pay the UK taxes on the money that has been stashed away in offshore bank accounts. Those who have come forward and declared tax evasion face penalties amounting to 10% of the tax evaded. Many cases also have tax evaders who still have to pay their back-taxes, and interest, going back up to 10 years.

If reports are to be believed, as many as 5000 British investors have stashed away black money which has been estimated to be £3bn in Liechtenstein. Tax officials have stated that those who do not make most of the disclosure opportunities would be liable to pay fines amounting to 200% of their unpaid tax, as well as back-taxes and interest. The disclosure facility is proving to be a success and is at the same time is churning out good money for the UK Revenue. In a separate agreement signed last year, undeclared money held by UK taxpayers in Swiss accounts is to be taxed for the first time, at up to 34% of the total.