The First Tier Tribunal allowed relief for a capital loss on an irrecoverable loan to a trader, despite the loan having been converted into shares before the loss relief claim was made.
SME Tax News
On 22 April 2024, HMRC issued updated guidance on Making Tax Digital (MTD) for Income Tax. After a pause in the pilot in February 2023, HMRC has now confirmed the expansion of the pilot from April 2024.
HMRC published Agent Update 119 on 17 April 2024. Here is our summary of the highlights in direct and indirect tax announcements affecting SME owners and advisers.
The First Tier Tribunal (FTT) found that a shareholder with a 4.99998% shareholding qualified for Entrepreneurs’ Relief (ER). A spreadsheet rounding error meant that 5% was not held, but the FTT decided that the High Court would have rectified this mistake, meaning that ER was available.
In HMRC v RALC Consulting Limited [2024] UKUT 00099 (TCC), the Upper Tribunal (UT) overturned a 2019 decision by the First Tier Tribunal (FTT) about the intermediaries legislation commonly referred to as IR35 which originally found in favour of the taxpayer. The case has been remitted back to the FTT which must now reconsider the arguments.
An attempt to claim negligible value relief was rejected by the First Tier Tribunal (FTT). It was found that the shares were already of negligible value at the time of acquisition.
Hello,
Today is ‘Tax Administration and Maintenance Day’, it is not a mini-budget, more of a publishing opportunity for HMRC! It includes details of a proposed new VAT relief for charitable donations which will be consulted on fully later this year.
The government has released a consultation addressing the potential VAT implications of recent case law developments on the Private Hire Vehicle (PHV) sector and its passengers.
- Tax Administration and Maintenance Day 2024 at a glance
- Accountant should have avoided a conflict of interest
- R&D undertaken overseas: Externally provided workers and contractors
- Money Laundering Regulation fine windfall
- Mega Marshmallows are food for VAT
- Existence of trust invalidated CGT assessment