HMRC have published 'Measuring Tax Gaps 2025', which says that small businesses failed to pay 40% of the corporation taxes that they owed in 2023-24. Overall, the tax gap estimate (the difference between what tax is expected to be paid and actually paid) was 5.3% for 2023-24.
In Conchri Investments Limited v HMRC [2025] TC09540, the First Tier Tribunal (FTT) found no reasonable excuse or special circumstances to justify reducing £15,700 of penalties charged for late Annual Tax on Enveloped Dwellings (ATED) return filings.
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The Chancellor, Rachel Reeves, presented her Spending Review to Parliament on Wednesday. Investment of £1.7bn in HMRC over four years was confirmed, to fund an additional 5,500 compliance and 2,400 debt management staff. This is anticipated to raise £7.5bn a year in extra tax by 2029-30.
HM Treasury has published 'Tax Policy Making Principles'. This outlines the Government's approach to the delivery of tax policy changes via a single annual Budget. It details how the Government will engage with stakeholders as tax policy develops, and confirms 'Legislation Day' (L-Day) can be expected in the summer.
In Alison Moss v HMRC [2025] TC09535, the First Tier Tribunal (FTT) found that an individual was solely taxable on income from a property owned jointly between her, and her estranged husband. The former husband was not in receipt of, or entitled to, the income.
HMRC have published 'The tax treatment of Carried Interest - Government response and policy update (June 2025)'. This includes feedback to the consultation published in October 2024, which explored possible amendments to the qualifying conditions for carried interest. Two key proposals have been dropped.
HMRC's chief executive, John-Paul Marks, has received a harshly worded letter from the Treasury Committee over the failure to inform it of the latest data breach before a meeting last week. It called into question HMRC's assertions that representative bodies had been informed of the incident.
In L-L-O Contracting Ltd & Ors v HMRC [2025] UKUTT 00127, the Upper Tribunal (UT) agreed with a previous ruling that the failure to claim Multiple Dwellings Relief (MDR) by the statutory deadline was a 'mistake'.
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As is well known, Making Tax Digital (MTD) for Income Tax (IT) becomes mandatory from 6 April 2026 for those with a combined annual gross income from self-employment and property letting that exceeds £50,000.
In Tamzin Eyre & Ors v HMRC [2025] TC09530, the First Tier Tribunal (FTT) found that a company intending to develop a property was not a ‘trading company’ for Entrepreneurs’ Relief (now Business Asset Disposal Relief) purposes. Its activities included, to a substantial extent, activities other than trading activities.
