Hello
There is not much headline news to report this week as it's the holidays. We do feature a really disturbing case in which HMRC tried to bankrupt an employee on the mistaken basis that she was a payroll operator.
SME Tax News
The House of Common's Treasury Committee has published 'Tax Reliefs' which calls for a systematic review into the cost of over a thousand tax reliefs which complicate the tax system and are open to abuse.
In Debra Elizabeth Adjei v Official Receiver and HMRC EWCA 1572 [2023] (Admin), the High Court annulled a bankruptcy order against an employee due to unpaid PAYE and NICs. She proved that she was merely the employee operating the payroll and not the employer as HMRC had falsely alleged.
Missed our SME Tax Web-updates in July? Here is a summary of the month.
Hello
A new government consultation considers the merits of increased tax incentives, particularly extending the Benefit in Kind (BiK) exemption for medical benefits. We have a new Agent Update and our tax cases cover sales suppression by a prolific puppy breeder and a successful input VAT claim on a fund raising share sale. It's getting to the end of another busy week.
HM Treasury and HMRC have opened a joint consultation ‘Tax incentives for occupational health’. This explores how the tax system can support employers to increase the provision of occupational health services for their employees.
In Sylvia Hook v HMRC [2023] TC08859, the First Tier Tribunal (FTT) found that a dog breeder deliberately under-declared puppy sales. Recorded sales of cockapoos, poodles and French bulldogs, each fetching £1,000 per puppy, were shown at a maximum of 194 a year, vastly understating the actual 297 sales of one particular year.
When the government published legislation that aimed to improve transparency over ownership of UK land property in 2022, it ignored the criticism of legal experts who had noted a loophole in the proposed rules. The House of Lords now proposes to plug this gap in the rules.
HMRC have issued their Agent Update for July 2023. We have summarised the key content for you with links to our detailed guidance on the topics covered.
Finance (No. 2) Act 2023 received Royal Assent on 11 July 2023. On 20 July 2023, the Act in its final form was published in full.