Hello,
There was a Welsh Budget earlier this week and later today a Scottish one too, there are more calls to postpone Making Tax Digital for Income Tax Self Assessment (MTD ITSA) for another year, and HMRC change their guidance on employer Group Income Protection medical cover.
The Welsh Government released their Draft Budget 2023 to 2024 on 13 December 2022.
HMRC have recently published revised guidance on the treatment of Group Income Protection payments. In reversing their previous advice, they now confirm that there will be double taxation of employees where policies were taken out through salary sacrifice.
In Douglas Lambourne v HMRC [2022] TC08666, the First Tier Tribunal (FTT) reluctantly struck out an appeal against HMRC’s refusal to repay amounts voluntarily paid to settle a disguised remuneration scheme following the 2019 loan charge review. The tribunal did not have jurisdiction as the legislation did not allow for such an appeal.
In Chrisovalandis Georgiou and others v HMRC [2022] TC 08660, the First Tier Tribunal found that HMRC had based VAT assessments on a flawed methodology and so were not made applying 'best judgement', as required by the VAT rules. The knock on effect of these errors was that Corporation Tax discovery assessments were not validated either.
The Chartered Institute of Taxation (CIOT) and the Association of Taxation Technicians (ATT) have published the results of a survey canvassing the views of tax professionals on Making Tax Digital (MTD) for Income Tax Self Assessment (ITSA). Most respondents did not believe that the rollout could be a success.
In HMRC v Jason Wilkes [2022] EWCA Civ 1612 the Court of Appeal (CoA) found that HMRC was unable to use the Discovery Assessment provisions to back-date assessments for unpaid High-Income Child Benefit Charges in past years. The charge is not 'income' for tax purposes.
Hello,
We are back this time with some light relief in the form of a Christmas Quest, a new Employer bulletin, a new tax guide for Doctors and Dentists, and a collection of interesting case reports.
HMRC have confirmed the flat rate van benefit charge, flat rate van fuel benefit charge and car fuel benefit multiplier which will apply for the 2023-24 tax year.
HMRC are promoting their App as a gift to seasonal Christmas workers in making it easier to access their employer's details and their own tax information.