SME Tax News

In Muller UK and Ireland Group LLP & Ors v HMRC [2026] EWCA Civ 248, the Court of Appeal (CoA) found that the related party restriction on claiming deductions for intangible assets applied to the Limited Liability Partnership (LLP) and its corporate members. As a result, the taxpayer's amortisation deductions were denied tax relief.

HMRC has published a call for evidence on the 'Taxation of stablecoins', a type of cryptoasset. It seeks opinions on issues around the tax treatment of stablecoins for both individuals and companies. 

In Kalinga Holdings Limited v HMRC [2026] TC09812, the First Tier Tribunal (FTT) found that a company that purchased an old office building to convert into residential flats was liable to make deductions under the Construction Industry Scheme (CIS) and it had not taken reasonable care to comply with that obligation. 

In HMRC v Christopher Brzezicki [2026] UKUT 00125, the Upper Tribunal (UT) allowed an appeal from HMRC, ruling that a property purchase that included a fishing stream and a separate island was residential for Stamp Duty Land Tax (SDLT)  purposes. 

HMRC have clarified the best routes to notify them when all of a sole trader or landlord's Making Tax Digital (MTD) relevant income has ceased before April 2026. This can be done via webchat or telephone by the taxpayer or their agent.

With just days to go before the introduction of Making Tax Digital (MTD) for Income Tax (IT), HMRC have written to more taxpayers who will be mandated into the regime from 6 April 2026.

HMRC have released a research paper, ‘Electronic invoicing: Quantitative research into small and medium-sized enterprises’ usage and attitudes’. The analysis found that only 59% of  SMEs were broadly familiar with e-invoicing as a concept.

The number of live cases being reviewed under the Corporate Criminal Offences (CCO) legislation has increased slightly in the last six months, while no further charging decisions have been secured.