HMRC have released a paper on Mutuality of Obligation in an attempt to explain why this was missed off its CEST tool and its approach when considering it in IR35 cases.
SME Tax News
In Yocheved Blum v HMRC [2017] TC6404 HMRC was able to make a discovery assessment in respect of PAYE income following a taxpayer’s error on her tax return there was nothing on the return to indicate that the taxpayer had picked off the wrong figures for her wages.
In Execs of Estate of D S Campbell Dec’d v HMRC [2018] TC06389, the First-Tier Tribunal (FTT) held that outstanding rents on a lease related to the deceased’s business, were deductible in calculating the value of the Business Property Relief (BPR) qualifying business and not entitled to separate relief.
In Oxbotica Limited v HMRC [2018] TC6538 HMRC was unsuccessful in an attempt to deny SEIS relief for £1,000 of founder shares on the basis that the amount of the investment was too small to be used to for any qualifying activity.
A recent survey by independent charity Arts & Business Scotland and accountancy firm Scott-Moncrieff indicates that over 75% of Scottish museums and galleries have not been claiming the Museum & Gallery Exhibitions Tax Relief introduced in 2017 to encourage museums and galleries to develop new exhibitions and display their collections to a wider audience.
In South Downs Trustees Limited v GH, IJ, KL [2018] EWHC 1064 (Ch) the High Court approved a decision by the trustees of an Employee Benefit Trust (EBT) to sell their controlling stake in the employer company despite the trust deed prohibiting it; the trustees took great care in making their decision which was in the interests of the beneficiaries.
In Robert Ames v HMRC [2018] UKUT 0190 the Upper Tribunal (UT) denied a CGT exemption on the sale of Enterprise Investment Scheme (EIS) shares where no claim to income tax relief had been made due to the taxpayer having only £42 of income.
In a recent response to a series of parliamentary questions, the government has estimated that the number of taxpayers who will be affected by the 2019 loan charge could be just 50,000.
Hello
Just to remind you of the deadline for filing P11Ds and also the P11D(b) NI declaration next week. Also if you have issued or transferred shares to an employee or director, the employment related securities (ERS) reporting deadline is 6 July.
In R (on the application of Steinfeld and Keiden) v Secretary of State for International Development [2018] UKSC 32, the Supreme Court held the bar on different-sex couples entering civil partnerships breached Human Rights. This potentially has a significant impact on tax law.