Print

HMRC has issued Spotlight 40: Income trust schemes: misleading advertising'. HMRC have taken a different approach in tackling this latest anti-avoidance scheme: complaining to the Advertising Standards Authority.

Under the scheme:

Effectively, the scheme claims to divert income from a business into a trust, which then loans the money back to the business owners and family, claiming that no Income Tax or National Insurance liabilities arise.

The decision of the Advertising Standards Authority (ASA) will set an important precedent for future ‘scheme’ advertising.

An email address is provided for taxpayers who wish to get out of such schemes and who don’t already have a contact at HMRC.

Links

Our guides:

Anti-avoidance: HMRC's spotlights 

Disguised remuneration

External links HMRC's spotlight can be found here.