HMRC report that an IT consultant who failed to declare almost £2 million of income received from an IT consultancy business, was jailed for 5 years today for tax fraud.
SME Tax News
Is a Land Rover Discovery a car or a van? Can a modified version of a vehicle make it unsuitable for private use?
Michael J Harte and Brenda A Harte v HMRC [2012] TC01951: a couple’s Capital Gains tax election to treat an inherited property as their main residence was denied: the property never qualified a “residence”.
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Case: Horton v Young [1971] 2 All ER 351 and [1971] 3 All ER 412 (CA)
A subcontracting bricklayer was allowed to claim travel between home and different building sites on the basis that it was wholly and exclusively incurred for the purposes of his trade.
- The court established that his home was the base of his self-employed operations: it was the administrative hub.
- He was engaged in an itinerant trade in that he had no fixed work place or places and moved around from different building site to site.
- The area in which he worked surrounded his house.
- He kept the tools of his trade at home.
- He carried out the financial management of the business from home.
See Travel: self employed for a list of trades and professions and commentary on the travel rules.