23/08/2008, by Steve Allen, Tax article - VAT & Excise Duties
Steve Allen, Director of VAT Solutions (UK) Ltd, highlights the key areas of tax evasion potentially affected by the EC's recent proposals. {mosimage}IntroductionEarlier this year, the European Commission issued its proposals to combat tax evasion, and because they are aimed at speeding up the collection and exchange of information, there is likely to be a wide reaching impact on businesses. In May, the Treasury responded by confirming that the proposed rules had not been discussed with Member ... Continue Reading
23/08/2008, by Matthew Hutton MA, CTA (fellow), AIIT, TEP, Tax article - Inheritance Tax, IHT, Trusts & Estates, Capital Taxes
Matthew Hutton MA, CTA (fellow), AIIT, TEP, presenter of Monthly Tax Review, highlights potential trust tax planning points and traps from a recent IBC Private Client Tax Conference. {mosimage}Reversionary interests: adding to value of estate IIP without a transfer of valueExempt transfers, such as the normal expenditure out of income, can be used to add to a qualifying (or ‘estate’) interest in possession without a chargeable transfer. The same point obviously applies ... Continue Reading
23/08/2008, by John Andrews, Tax article - General
John Andrews of the Low Incomes Tax Reform Group ( http://www.litrg.org.uk/ ) raises concerns that the proposed government initiative designed to encourage savings and investment by peole on low incomes, will be stifled by excessive beauracracy.IntroductionIn 2010 a new government initiative is due to come on stream to encourage those on low incomes to save. The Savings Gateway will provide a cash savings account for regular savings. If you save, then the government will add to your contributions.LITRG ... Continue Reading
20/08/2008, by Sarah Laing, Tax news - Inheritance Tax, IHT, Trusts & Estates, Capital Taxes
The August 2008 edition of HMRC's IHT and Trusts Newsletter is now available.The newsletter covers the following topics:IHTTransferable nil rate bandMeeting with representative bodies Inheritance Tax Account Applying for an IHT reference Section 144 Northern Rock shares IHT email addresses Authority for repayment of Inheritance Tax IHT & Trusts Newsletter email notification TrustsNew versions of R185(Trust Income) and R185(Estate Income)LinkIHT and Trusts Newsletter (August 2008) Continue Reading
20/08/2008, by Sarah Laing, Tax news - HMRC Administration, Practice and Methods
HMRC have issued a reminder to anyone filing a Self Assessment tax return this year - the new 31 October deadline for paper returns is only weeks away.The Self Assessment system for filing tax returns is now in its 12th year and it affects more than 9m people annually.Previously, both paper and online Self Assessment tax returns had to be filed by 31 January. But from this year, paper returns must be with HMRC by 31 October. A £100 penalty may be payable for late filing. The deadline for ... Continue Reading
15/08/2008, by Peter Arrowsmith FCA, Tax article - PAYE and Payroll Taxes, National Insurance, NICs
Peter Arrowsmith FCA highlights a selection of NIC matters, and provides a useful tip for small employers claiming the recovery of Statutory Maternity Pay (SMP), Statutory Paternity Pay (SPP) and Statutory Adoption Pay (SAP) paid.National Insurance Contributions Act 2008This Act received Royal Assent on 21 July.The Lords amendments made previously were, as anticipated, rejected by the Commons on the grounds that 'they involved charges on the public revenue and were therefore subject to Commons ... Continue Reading
15/08/2008, by Matthew Hutton MA, CTA (fellow), AIIT, TEP, Tax article - Inheritance Tax, IHT, Trusts & Estates, Capital Taxes
Matthew Hutton MA, CTA (fellow), AIIT, TEP reports on a possible solution to some situations of uncertainty over the availability of business and agricultural reliefs for inheritance tax purposes.{mosimage}Context The following points were made in a lecture by Emma Chamberlain at IBC’s IHT and Trusts Conference in London on 22 May 2008. The ProblemHMRC are notoriously unwilling to pronounce on the availability of APR or BPR where no IHT hangs on the issue (see for example HMRC’s ... Continue Reading
15/08/2008, by Sarah Laing, Tax news - Business Tax
HMRC have announced that an implementation team is to be formed, which will be responsible for producing Technical and Operational Guidance, together with a comprehensive learning package. All these three elements will be the subject of external consultation.The Finance Act 2008, which has recently received Royal Assent, provides for aligned information and inspection powers, rules for record-keeping and time limits for assessments and claims. The legislation stems from work undertaken by HMRC’s ... Continue Reading
13/08/2008, by Sarah Laing, Tax news - Business Tax
HMRC have confirmed that they are now able to pay the gift aid supplement on charitable donations, as announced in the 2008 Budget.For donations made by donors on or after 6 April 2008, charities will claim gift aid repayments at the new basic tax rate of 20 per cent but they will also be entitled to a transitional relief worth 3p for every £1 donation they receive under the gift aid scheme. This transitional relief has been provided by Government to allow charities to adjust to the fall in ... Continue Reading
12/08/2008, by Sarah Laing, Tax news - HMRC Administration, Practice and Methods
HMRC have published a report, which sets out a programme designed to make the Department's IT systems more user-friendly.HMRC's revised Equality Impact Assessment of IT Accessibility report recognises that the Department could do more to improve IT access, especially for disabled people and sets out areas where it hopes to make these improvements. The new report documents the views of staff and customers following the consultation exercise conducted after the release of the original report ... Continue Reading
