The Law Society has published a set
of Q&As to explain the interaction between DAC 6 and legal professional
privilege (LPP). Under the Directive, lawyers involved in advising on
cross-border arrangements may fall under the disclosure requirements for intermediaries.
The International Tax Enforcement (Disclosable Arrangements) Regulations, SI
2020/25 implement the Directive into UK law. Regulation 7 provides an exception
from the disclosure obligation where to do so would be in breach of LPP. In
this situation, lawyers are required to notify other intermediaries or the
‘relevant taxpayer’ of their disclosure obligations under the rules, provided
that doing so does not itself breach LPP.
The Law Society has published a set
of Q&As to explain the interaction between DAC 6 and legal professional
privilege (LPP). Under the Directive, lawyers involved in advising on
cross-border arrangements may fall under the disclosure requirements for intermediaries.
The International Tax Enforcement (Disclosable Arrangements) Regulations, SI
2020/25 implement the Directive into UK law. Regulation 7 provides an exception
from the disclosure obligation where to do so would be in breach of LPP. In
this situation, lawyers are required to notify other intermediaries or the
‘relevant taxpayer’ of their disclosure obligations under the rules, provided
that doing so does not itself breach LPP.
