What’s Coming Next for Local Government – Thirty Nine Essex Street

Posted March 19th, 2015 in bills, local government, news, taxation by sally

‘2015 promises to be an interesting year for local government, albeit against a backdrop of continued cuts, with localism, devolution and reform of local government finance all politically prominent issues, although it is too soon to predict what form they will take. After considering the general context, this paper addresses recent case law that is relevant to local government finance and in particular the caution that must be exercised against the unlawful use of charging to generate revenue. We then outline some of the main features of the Government’s Deregulation Bill, which is currently at the report stage in the House of Lords, and conclude with a reminder of the potential pit-falls of promises in an election year.’

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Thirty Nine Essex Street, February 2015

Source: www.39essex.com

Divorcing? Delay until April 6 to cut your tax bill – Daily Telegraph

Posted March 18th, 2015 in capital gains tax, divorce, news, tax avoidance, taxation by sally

‘A little-understood aspect of the tax rules means couples could avoid capital gains tax by delaying separation until the next financial year.’

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Daily Telegraph, 17th March 2015

Source: www.telegraph.co.uk

Trying to make sense of a mansion tax – Falcon Chambers

Posted March 17th, 2015 in housing, news, taxation by sally

‘The 2015 election campaign will not be the first in which all parties will be promising to outstrip their rivals in their support for the NHS. At the Labour Party Conference last year Ed Miliband announced that a next Labour Government would introduce a tax– a so-called mansion tax – on high value homes worth more than £2million. In an article in the Hampstead and Highgate Express (October 23 2014), designed to calm jittery voters where Labour’s majority is the smallest in the country, Ed Balls stated that the tax will be charged at £250 a month on properties worth between £2 and £3 million, but above £3 million it is apparently to be charged at 1% of capital value. The revenue from the tax, it is said, will contribute to a Time to Care Fund to help the NHS. He estimates that the mansion tax alone will put £1.2 billion into the Fund.’

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Falcon Chambers, February 2015

Source: www.falcon-chambers.co.uk

Marriage tax allowance: how does it work? – The Guardian

Posted February 23rd, 2015 in civil partnerships, income tax, married persons, news, remuneration, taxation by sally

‘Registration has opened for the new marriage tax allowance – a Conservative policy which will allow some couples to share part of their annual income tax allowance.’

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The Guardian, 20th February 2015

Source: www.guardian.co.uk

“Horse play” – Tribunal concludes that racehorse ownership was a gamble and not a trade and rejects the taxpayer’s loss relief claim – RPC Tax Take

Posted February 19th, 2015 in gambling, horse racing, news, taxation, tribunals by sally

‘In recent years, there has been a seemingly unending string of cases relating to whether certain activities constitute trading. Ewan Leslie James McMorris v HMRC[1]is the latest case to consider the circumstances in which a taxpayer may deduct losses incurred from his other income under section 64, Income Tax Act 2007 (ITA).’

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RPC Tax Take, 13th February 2015

Source: www.rpc.co.uk

Finance & Divorce Update – Family Law Week

‘Jessica Craigs, senior solicitor of Mills & Reeve LLP analyses the financial remedies and divorce news and cases from January 2015.’

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Family Law Week, 19th February 2015

Source: www.familylawweek.co.uk

Eclipse Film Partners No 35 LPP v Revenue and Customs Commissioners – WLR Daily

Posted February 19th, 2015 in appeals, HM Revenue & Customs, income tax, interest, law reports, taxation by sally

Eclipse Film Partners No 35 LPP v Revenue and Customs Commissioners [2015 EWCA Civ 95; [2015] WLR (D) 71

‘On the proper meaning and application of “trade” in sections 5 and 863(1) of the Income Tax (Trading and Other Income) Act 2005 and section 362 (1)(b) of the Income and Corporation Taxes Act 1988 the taxpayer carried on the business of exploiting films not amounting to a trade. Accordingly, the taxpayer’s members were not entitled to tax relief in respect of interest on their borrowings.’

WLR Daily, 17th February 2015

Source: www.iclr.co.uk

Clavis Liberty Fund LPI v Revenue and Customs Commissioners and others – WLR Daily

Posted February 18th, 2015 in law reports, service out of jurisdiction, taxation, tribunals, witnesses by sally

Clavis Liberty Fund LPI v Revenue and Customs Commissioners and others [2015] WLR (D) 69

‘The First-tier Tribunal Tax Chamber had no jurisdiction to issue witness summonses addressed to prospective witnesses who had no presence in the jurisdiction.’

WLR Daily, 12th February 2015

Source: www.iclr.co.uk

HMRC failed to prosecute British property mogul who did not pay any tax for 20 years – The Independent

Posted February 17th, 2015 in HM Revenue & Customs, news, tax evasion, taxation by sally

‘HMRC failed to prosecute a British property mogul who did not submit returns or pay any tax for 20 years, it was claimed last night.’

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The Independent, 14th February 2015

Source: www.independent.co.uk

Tax authorities should prosecute evaders, says Keir Starmer – The Guardian

Posted February 16th, 2015 in banking, fraud, news, select committees, sentencing, tax evasion, taxation, whistleblowers by sally

‘Criminal prosecution for tax evasion should become the default position of the tax authorities, Keir Starmer, the former director of public prosecutions, has said, as HM Revenue and Customs came under further scrutiny over whether it responded to an email from a French whistleblower setting out details of the scale of tax evasion by HSBC.’

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The Guardian, 13th February 2015

Source: www.guardian.co.uk

Council wins appeal in lead case on bedroom tax and shared residence of child – Local Government Lawyer

Posted February 10th, 2015 in appeals, housing, local government, news, residence orders, taxation, tribunals by sally

‘The Upper Tribunal has upheld a local authority’s appeal in the lead case on the application of the “bedroom tax” to the shared residence of a child.’

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Local Government Lawyer, 10th February 2015

Source: www.localgovernmentlawyer.co.uk

HMRC Dishonesty Allegation “seriously flawed” – RPC Tax Take

Posted January 15th, 2015 in banking, fraud, HM Revenue & Customs, news, taxation, tribunals, VAT by sally

‘The First-tier Tribunal (Tax Chamber) (“FTT”) has ruled, in Citibank NA v Revenue and Customs Commissioners, that HMRC’s pleadings were “seriously flawed”. When alleging fraud against a taxpayer, HMRC must clearly plead that the taxpayer had a dishonest state of mind.’

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RPC Tax Take, 14th January 2015

Source: www.rpc.co.uk

“No proper justification” for challenge based on draft judgment – Litigation Futures

Posted January 14th, 2015 in accountants, causation, judgments, negligence, news, taxation by tracey

‘There was “no proper justification” for a claimant seeking to reopen an issue based on the circulation of a draft judgment, the High Court has ruled.’

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Litigation Futures, 13th January 2015

Source: www.litigationfutures.com

‘Milestone tax breaks’ idea for married couples who stay together longer – Daily Telegraph

Posted January 12th, 2015 in children, cohabitation, judges, marriage, news, taxation by sally

‘Former High Court family judge Sir Paul Coleridge calls for couples to be given extra tax breaks after passing landmark wedding anniversaries to encourage family stability.’

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Daily Telegraph, 10th January 2015

Source: www.telegraph.co.uk

Settling a taxing point about taxation of settlement agreements – Cloisters

Posted December 18th, 2014 in age discrimination, news, redundancy, taxation, tribunals, unfair dismissal by sally

‘If you are an advisor who only occasionally dabbles with tax issues in settlements for fear of having to delve into murky tax law, take note of a recent decision providing a lucid summary of the relevant principles. The case is also a cautionary tale for claimants challenging tax assessments as the claimant’s unsuccessful challenge before the First-Tier Tax Tribunal (FTT) resulted in a tax bill larger than the one sent to him by HMRC. If Oti-Obhihara [2011] IRLR 386 and Orthet v Vince Cain [2005] ICR 374 ring a distant bell from advising on settlements past, they should now be retuned to the sound of alarm bells as the FTT in Moorthy v HMRC [2014] UKFTT 834 (TC) has doubted their correctness.’

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Cloisters, 12th December 2014

Source: www.cloisters.com

Tax Tribunal backlog reaches record high – OUT-LAW.com

Posted November 25th, 2014 in delay, judiciary, news, taxation, tribunals by sally

‘The backlog of tax disputes waiting to be heard has reached a new record high with a particular surge in the number of high value cases lodged with the Upper Tribunal, according to Pinsent Masons, the law firm behind Out-Law.com.’

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OUT-LAW.com, 25th November 2014

Source: www.out-law.com

EU court moves against ‘benefits tourism’ in landmark ruling – The Independent

Posted November 12th, 2014 in benefits, EC law, immigration, news, taxation by tracey

‘The European Court of Justice has issued a historic ruling against Romanian woman living in Germany that could set a major precedent blocking so-called “benefits tourism” across the continent.’

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The Independent, 11th November 2014

Source: www.independent.co.uk

High Court judge refuses application by Treasury to lift automatic suspension – Local Government Lawyer

Posted November 5th, 2014 in children, contracts, delay, employment, news, parental rights, public interest, taxation by sally

‘A High Court judge has dismissed an application by the Treasury and two of its agencies to lift an automatic suspension under the Public Contracts Regulations 1996.’

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Local Government Lawyer, 5th November 2014

Source: www.localgovernmentlawyer.co.uk

R (on the application of Moseley (in substitution of Stirling) (AP) v London Borough of Haringey – Supreme Court

R (on the application of Moseley (in substitution of Stirling) (AP) (Appellant) v London Borough of Haringey (Respondent) [2014] UKSC 56 (YouTube)

Supreme Court, 29th October 2014

Source: www.youtube.com/user/UKSupremeCourt

Consultation duty gets to the Supreme Court – UK Human Rights Blog

Posted October 30th, 2014 in appeals, consultations, local government, news, Supreme Court, taxation by sally

‘Lord Wilson posed the question, answered today by the Supreme Court, with concision. When Parliament requires a local authority to consult interested persons before making a decision which would potentially affect all of its inhabitants, what are the ingredients of the requisite consultation?’

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UK Human Rights Blog, 29th October 2014

Source: www.ukhumanrightsblog.com