Tax News
Mazars tax news covers everything tax related in the UK from, VAT to the latest HMRC rulings.
Find monthly updates on taxation in the UK, or search through the archive of our news. For the most up to date tax news and opinions on taxation in the UK, follow our Let's Talk Tax blog:
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VAT on Cross border internal recharges
The ECJ has released its decision in the Skandia American Corporation Case. It is a decision that could have a significant impact on the Financial Services sector.
‘Tax free’ childcare moves closer
At Budget 2013, the Government announced its intention to introduce a new Tax-Free Childcare scheme. The scheme will launch in autumn 2015 and will be available for children up to the age of 12 (or 16 if the child is disabled). To qualify parents need to be working and earning just over an average of £50 per week up to a maximum of the additional rate threshold, currently £150,000 per annum.
Follower notices and accelerated payments
HMRC issued guidance dated 17 July 2014 on their website in respect of the above on 21 July 2014. The guidance is important as it gives more details on how HMRC will approach these cases and the basis on which penalties will be charged.
Accelerated payments - Schemes list published
On 15 July, HMRC published a list of tax avoidance schemes whose users may be required to make a substantial upfront payment of tax under the ‘accelerated payments’ regime.
Land & Buildings Transactions Tax sub-sale relief
From 1 April 2015 SDLT will no longer apply to transactions of land situated in Scotland. Instead Land & Buildings Transactions Tax (LBTT) will be charged under the Land & Buildings Transactions Tax (Scotland) Act 2013.
Bupa loss relief scheme succeeds
The Upper Tier Tribunal has accepted that a scheme entered into by Bupa to secure consortium relief losses was successful. Key to establishing the entitlement to consortium relief was establishing that Bupa had beneficial entitlement to distributions from the consortium company. The underlying tax avoidance motive was irrelevant.
Employer deductions: late payment penalty
The cost imposed by HMRC on employers for late payment of amounts deducted under PAYE, NIC, student loan repayments and the employer’s liability to secondary NIC changed from 6 April 2014.
LLP salaried members - 5 July deadline
One area of Finance Bill 2014 to attract the most publicity has been the ‘salaried members’ rules, which may affect members of LLPs and which came into effect on 6 April 2014. It is possible for existing members to avoid these rules by increasing their contributions to the LLP, but this needs to be done by 5 July 2014.