First judgment in a judicial review claim concerning the Disguised Remuneration Repayment Scheme 2020 – Devereux Chambers

‘The High Court (Mrs Justice Dias) has handed down its first judgment concerning the Disguised Remuneration Repayment Scheme 2020 (DRRS), and in particular the proper interpretation of the requirement for “reasonable disclosure”. The Claimant, Sensor Solutions Ltd, challenged a decision of HMRC not to make payments to the Claimant under the DRRS.’

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Devereux Chambers, 15th May 2024

Source: www.devereuxchambers.co.uk

CA holds incentives to agree changes to scheme taxable – Pensions Barrister

Posted February 15th, 2024 in income tax, national insurance, news, pensions, remuneration by sally

‘Paul Newman KC considers the decision of the CA in HMRC v E.ON UK Plc (28 November 2023), in which the CA overturned a somewhat surprising decision of the UT that a one-off cash payment from an employer to scheme members, in return for them giving up future pension benefits, was not taxable.’

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Pensions Barrister, 15th February 2024

Source: www.pensionsbarrister.com

Society warns on Finance Bill changes – Law Society’s Gazette

‘The Law Society today reminded private client solicitors that the Finance Bill is set to restrict charitable tax reliefs to UK charities only, with donations located in the EU and the European Economic Arena (EEA) no longer qualifying for UK charitable tax reliefs from April 2024. This will impact individuals who claim income tax or capital gains tax relief on donations to non-UK charities and those who expect inheritance tax exemption on lifetime gifts or on legacies to such organisations.’

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Law Society's Gazette, 15th May 2023

Source: www.lawgazette.co.uk

Registration and approval issues – Pensions Barrister

Posted April 27th, 2023 in income tax, news, pensions, trusts by sally

‘Everyone will be familiar with the requirement to provide the prescribed information to be recorded on the register of qualifying occupational and personal pension schemes maintained by tPR,1 and with the obligation to register a pension scheme with HMRC in order to qualify for the tax reliefs available to pensions.2 This article discusses three issues relating to registration and the associated issue of approval of amendments that may not be so common but which may arise occasionally in practice.’

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Pensions Barrister, 27th April 2023

Source: www.pensionsbarrister.com

Gary Lineker wins appeal over £4.9m tax bill – BBC News

‘Sports presenter Gary Lineker has won his appeal against HMRC over a £4.9m tax bill.’

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BBC News, 28th March 2023

Source: www.bbc.co.uk

Case Preview: Commissioners for His Majesty’s Revenue and Customs v Vermilion Holdings Limited – UKSC Blog

‘In this post, Jack Prytherch, Of Counsel in the Tax team at CMS, previews the decision awaited from the Supreme Court in Commissioners for His Majesty’s Revenue and Customs v Vermilion Holdings Limited. The appeal was heard by the Supreme Court on 7 February 2023.’

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UKSC Blog, 9th February 2023

Source: ukscblog.com

Eamonn Holmes in challenge to tax tribunal ruling over ’employee’ status at ITV – The Independent

Posted January 19th, 2023 in appeals, income tax, media, national insurance, news, self-employment, tribunals by tracey

‘Television presenter Eamonn Holmes is challenging a tribunal ruling that concluded he should be treated as an ITV employee for tax reasons when he presented This Morning.’

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The Independent, 15th January 2023

Source: www.independent.co.uk

“Spent” golden contract means enterprise zone allowances disallowed – OUT-LAW.com

Posted November 14th, 2022 in appeals, contracts, corporation tax, income tax, news, taxation, time limits by tracey

‘Investors behind the construction of two data centres could not claim Enterprise Zone allowances (EZAs) on the expenditure they incurred because it was deemed to have been incurred under a contract entered into outside of the statutory window for claiming the allowances.’

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OUT-LAW.com, 11th November 2022

Source: www.pinsentmasons.com

Will your UK damages be taxable? – OUT-LAW.com

Posted October 12th, 2022 in capital gains tax, damages, income tax, news, taxation by tracey

‘Awards and settlements in commercial disputes can be taxable in the claimant’s hands. The tax treatment of damages should be considered at an early stage as this may need to be factored into the amount claimed. Tax also needs to be considered in settlement negotiations to ensure the offer is enough.’

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OUT-LAW.com, 11th October 2022

Source: www.pinsentmasons.com

An Enlightened Approach to Taxpayer Confidentiality: The Story of the First Income Tax – Wilberforce Chambers

Posted April 15th, 2021 in confidentiality, income tax, news, privacy by sally

‘Confidentiality is a fundamental concept at the heart of the modern taxation system. The need to strike a balance between the taxpayer’s right to privacy and the requirement of HMRC to carry out its functions has been the subject of much legislation and litigation. There has been an explosion in the exchange of information between revenue authorities of different countries and British politicians have for years been under pressure to emulate the tradition of American presidents publishing their tax returns. But there is nothing new under the sun: the introduction of income tax in Britain at the end of the 18th century was dominated by concerns over taxpayer confidentiality, which led to measures being developed which have left their mark on today’s income tax system.’

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Wilberforce Chambers, 6th April 2021

Source: www.wilberforce.co.uk

Ashbolt v HMRC [2020] STC 1813 – CrimeCast.Law

Posted December 3rd, 2020 in HM Revenue & Customs, income tax, loans, news, podcasts, search & seizure, tax avoidance by tracey

‘The case arose from the response of certain taxpayers and their professional advisers to the Treasury’s introduction of the so called ‘loan charge’ under the Finance Act (No 2) 2017, which was intended to enable HM Revenue and Customs to put an end to what had become a widespread practice of avoiding income tax by characterising payments as loans rather than income. HMRC commenced a criminal investigation into the conduct of a number of subscribers to a particular tax avoidance scheme and, in the course of that investigation, they obtained and executed search warrants relating to both residential and business premises. The question arose whether the first set of access conditions in paragraph 2 to Scheduled 1 of PACE, and whether the further condition in paragraph 14(d) of that schedule had been satisfied. It prompted the Divisional Court to issue a stern warning about the need for scrupulous care in presenting such an application and the court also gave guidance on how, in practical terms, the judge to whom the application is made should be assisted in focusing on the key issues which he or she needs to resolve …’

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CrimeCast.Law, 30th November 2020

Source: crimecast.law

No tax relief on pension contributions paid in shares – Wilberforce Chambers

Posted May 29th, 2020 in income tax, news, pensions, shareholders by sally

‘In a decision which threatens to bring turmoil to vast number of SIPPs (self-invested personal pensions), the Upper Tribunal has decided in HMRC v Sippchoice Ltd [2020] UKUT 149 (TCC) (Roth J and Upper Tribunal Judge Greg Sinfield) that member contributions to registered pension schemes are only eligible for tax relief where they are paid in money. Where a member transfers shares to the scheme trustees no tax relief is available, even where done in satisfaction of a money debt, and notwithstanding the terms of HRMC’s own Pensions Tax Manual which appears to say the opposite.’

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Wilberforce Chambers, 18th May 2020

Source: www.wilberforce.co.uk

New Judgment: Fowler v Commissioners for HMRC [2020] UKSC 22 – UKSC Blog

Posted May 27th, 2020 in double taxation, income tax, news, self-employment, Supreme Court, treaties by sally

‘Mr Fowler is a qualified diver who is resident in the Republic of South Africa. During the 2011/12 and 2012/13 tax years he undertook diving engagements in the waters of the UK’s continental shelf. HMRC stated that he is liable to pay UK income tax for this period. Whether he is liable depends on the application of a Double Taxation Treaty between the UK and South Africa. Article 7 of the Treaty provides that self-employed persons are taxed only where they are resident (i.e. South Africa), whereas article 14 provides that employees may be taxed where they work (i.e. the UK). For the purposes of this appeal, the parties have assumed that Mr Fowler was an employee. Mr Fowler claims he is nevertheless not liable to pay tax in the UK. His case centres on a “deeming provision” in section 15 of the UK’s Income Tax (Trading and Other Income) Act 2005 (“ITTOIA”). This provides that an employed seabed diver is “treated” as self-employed for the purposes of UK income tax.’

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UKSC Blog, 26th May 2020

Source: ukscblog.com

Matalan founder suing PwC for ‘ineffective tax avoidance advice’ – The Guardian

Posted May 21st, 2020 in accountants, capital gains tax, income tax, negligence, news, tax avoidance by sally

‘The multimillionaire founder of Matalan is suing his accountants for allegedly giving him ineffective tax avoidance advice – weeks after his retail empire received tens of millions of pounds of taxpayer support during the Covid-19 pandemic.’

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The Guardian, 20th May 2020

Source: www.theguardian.com

Foreign statutory schemes – can they register as a registered pension scheme? – Wilberforce Chambers

Posted December 4th, 2019 in EC law, income tax, news, pensions by sally

‘The regime for registered pension schemes, which was first established with effect from A-Day (6 April 2006), is renowned for a number of things. One of those things is the expansion of the categories of person who can establish a pension scheme. However, as a recent case shows, the legislation contains anomalies.’

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Wilberforce Chambers, 24th November 2019

Source: www.wilberforce.co.uk

New Judgment: R (Derry) v Commissioners for HMRC [2019] UKSC 19 – UKSC Blog

Posted April 11th, 2019 in income tax, news, shareholders, statutory interpretation, Supreme Court by sally

‘This appeal considered the correct procedure HMRC is required to follow under the Taxes Management Act 1970, where it wishes to enquire into a claim for carry-back share loss relief made in a self-assessed and calculated tax return.’

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UKSC Blog, 10th April 2019

Source: ukscblog.com

Lorraine Kelly wins £1.2m tax case against HMRC over ITV work – BBC News

‘Lorraine Kelly has won a row over a £1.2m tax bill, after a judge ruled she was not employed by ITV, but performs as her “chatty” TV persona.’

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BBC News, 21st March 2019

Source: www.bbc.co.uk

Supreme Court: income tax must be deducted from creditor interest – OUT-LAW.com

‘Income tax must be deducted before administrators can pay out statutory interest to the creditors of an insolvent company, the UK’s highest court has confirmed.’

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OUT-LAW.com, 14th March 2019

Source: www.out-law.com

Home Office ‘wrecked my life’ with misuse of immigration law – The Guardian

Posted February 4th, 2019 in immigration, income tax, mistake, news, taxation, terrorism by sally

‘The Home Office has been accused of inflicting irreversible damage on the life of a pharmaceutical expert by misusing a controversial clause in immigration law to try to force her out of the UK.’

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The Guardian, 2nd February 2019

Source: www.theguardian.com

A life ‘completely destroyed’ by one paragraph of immigration law – The Guardian

Posted May 21st, 2018 in immigration, income tax, news by sally

‘Paragraph 322(5) has devastating conditions, as Sidharth Vijay found when he made a simple correction to his tax return.’

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The Guardian, 20th May 2018

Source: www.theguardian.com