SME Tax News

In Rachel McGreevy v HMRC [2017] TC06109 penalties for a late non-resident capital gains tax return were cancelled; no disposal was proved in the relevant tax year, the taxpayer had a reasonable excuse or special circumstances.

In M Watts v Revenue Scotland [2017] FTSTC 1 the Scottish tax tribunal upheld penalties of £890 for a late LBTT return despite no tax being due; ignorance of the law was no excuse for the self-represented tax payer.

In J Cooney (as representative partners of Citygate Partnership) v HMRC [2017] TC05950, the First- Tier Tribunal (FTT) agreed that the partnership had a reasonable excuse for the late return and HMRC should have given a special circumstances reduction as they had the individual partners’ returns.

In Jörg Märtin v HMRC TC05942, the First Tier Tribunal (FTT) held that where there was no evidence of a valid reason for HMRC to have delayed dealing with an enquiry they had to issue a closure notice.

In Stephen Bailey v HMRC [2017] TC06085 the First Tier Tribunal (FTT) held that a property was the taxpayer’s main residence despite the short period in which he actually occupied it.

Under Simple Assessment, HMRC automatically calculate tax liabilites using a Simple Assessment Calculation 'SAC' for some taxpayers. This removes them from self assessment system. The process will start by focusing on new state pensioners and PAYE customers.

HMRC have just published revised guidance on amending earlier years’ R&D claims to include reimbursed employee expenses.

HMRC have released a policy paper and draft legislation clarifying the tax treatment of partnerships in particular situations, such as where bare trustees, or other partnerships are partners.