SME Tax News

HMRC's July 2022 consultation, 'The taxation of Decentralised Finance involving the lending and staking of cryptoassets – call for evidence', asks for views on the consistency between the economic and tax treatment of lending and staking transactions and puts forward three different options for tax treatment. 

HM Treasury has published a consultation ‘Sovereign immunity from direct taxation: consultation on policy design’ which outlines the government’s proposal to legislate for, and better target, the UK’s exemption from direct tax for foreign sovereign investors, from April 2024.

In Alan Parry Productions Ltd v HMRC [2022] TC08519, the First Tier Tribunal (FTT) held that the control and mutuality of obligation tests were satisfied. The terms of Mr Parry’s contracts with BSkyB were consistent with him being an employee.

The First Minister of Wales, Mark Drakeford and the leader of Plaid Cymru, Adam Price, have announced a package of measures intended to address the high numbers of second homes in Wales.

In Nicholas Close, Andrew Nuttall and Graham Chisnall v HMRC [2022] TC8518, the First Tier Tribunal (FTT) examined the market value of AIM listed shares gifted to charity, reducing them on the basis that there was little evidence of trading on what was an illiquid market.

Missed our SME Tax Web-updates in June? Here is a summary of the month.

HMRC has opened a consultation ‘Tertiary legislation for Making Tax Digital for Income Tax’ inviting views on draft legislation for landlords and sole traders under Making Tax Digital (MTD) for Income Tax.

In Northern Gas Networks Ltd v HMRC [2022] EWCA Civ 910, the Court of Appeal (CoA) found that Land Remediation Relief was not available to a company as its continued pumping of gas through ageing pipelines had contributed to the contamination.