Tax planning

Tax / Tax revenues up £35.6bn as CGT and stamp duty bite

HMRC’s tax take has seen its biggest jump since the recession in the last year, rising by £35.6bn, with a 10% hike in revenue from national insurance contributions (NICs) while higher rates of property tax have raked in £1.1bn in additional revenue

Tax / HMRC consults on draft guidance on enabler rules for tax advisers

HMRC is consulting on draft guidance covering new legislation on enablers of defeated tax avoidance schemes which will be introduced once Finance Bill (No.2) 2017 receives Royal Assent, and which could see accountants and lawyers liable for penalties as a result of providing contentious advice in this area

Tax / Amazon wants tax breaks for second US HQ

Amazon’s announcement that it is looking for a US city in which to set up HQ2 and its requirement that the chosen location is ‘business friendly’ has sparked controversy over whether the contenders should offer tax breaks and other financial incentives

Tax / HMRC urged to act on online VAT fraud by overseas sellers

HMRC has been too slow to address the problems of online VAT fraud by overseas sellers and its estimates of the tax loss are ‘out of date and flawed’ according to a report from the public accounts committee (PAC), which says the current uncertainty over the terms of the UK’s withdrawal from the EU risks making the problems worse

Tax / OECD reports action taken to amend preferential tax regimes

Governments have dismantled, or are in the process of amending, nearly 100 preferential tax regimes as a result of the introduction of the base erosion and profit shifting (BEPS) standards to improve the international tax framework, according to a progress report from the OECD

Tax / Calls for UK to hike self employed NICs and cut pension triple lock

The OECD is recommending the UK considers increasing National Insurance contributions (NICs) for the self employed and reforming the ‘triple lock’ on state pensions as part of efforts to support the UK economy, which it says has weakened in the aftermath of the decision to leave the EU

Tax / Partnership taxation: chargeable tax and profit allocations

The imminent overhaul of tax rules for all types of partnerships will have a wide-reaching impact, particularly on the bare trust/beneficiary approach. Mark Cawthron LLB CTA outines the key changes and sets out potential pitfalls for partners to consider

Tax / Higher taxes cut inequality without damaging the wealthy, says IMF

The International Monetary Fund (IMF) is calling for developed countries to consider introducing higher income tax rates for the wealthiest, arguing the evidence suggests this would help reduce inequality without having an adverse impact on growth, contrary to received thought

Tax / Buy-to-let landlords warned over CGT liability in downsizing

Recent tax changes and other government moves designed to cool the buy-to-let market are starting to have an effect, with an increase in the number of landlords with significant property portfolios wishing to downsize, but concerns around potential capital gains tax (CGT) liabilities are increasing, law firm Irwin Mitchell Private Wealth reports

Tax / HMRC simple assessments: what you need to know

As the first HMRC simple assessments are sent out, Meg Wilson CTA explains how they work for affected taxpayers including new pensioners and anyone who has underpaid PAYE and what action they need to take as they are pulled into the first wave of implementation, effectively seeing the abolition of their annual tax return

Tax / Transfer pricing: intellectual property and intercompany charges

Companies risk millions in fines by not complying with transfer pricing rules on intercompany charges and licensing fees for intellectual property paid to local trading subsidiaries. Ken Almand, partner and UK head of transfer pricing at RSM and Paul Sutton, founder, LCN Legal, explain the essentials for TP tax compliance

Tax / MacKay: will HMRC's tax support service for mid-sized businesses work?

Businesses turning over upwards of £10m or with 20 or more employees will have access to help with tax queries about their growing business under HMRC's new plans. Jane MacKay, head of tax at Crowe Clark Whitehill, asks whether this growth support service targeted at mid-sized businesses will work

Tax / European Commission gets go-ahead to improve tax dispute rules

The European Commission has been granted permission from EU member states to introduce rules to improve tax dispute resolution as well as cover issues relating to double taxation which can be a major obstacle for businesses

Tax / Plans for ‘frictionless’ VAT and customs regime post-Brexit

The Treasury has published a white paper on plans for the standalone customs, VAT and excise regimes the UK will need once it leaves the EU, and is seeking feedback on the options under consideration, including what it describes as ‘an innovative and untested approach’ mirroring EU arrangements

Tax / Hyde: diverted profits tax and advance pricing arrangements

The diverted profits tax may have raised £281m in tax revenue in the first full year of operation, but it is proving a challenge for companies. Ian Hyde, tax partner at Pinsent Masons considers the interaction of DPT with advance pricing arrangements (APAs)