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Complex Compliance and Disclosure News

27 February 2012

Principal Private Residence Relief - make your second house a home

There have recently been several cases which have considered the application of Principal Private Residence Relief (“PPR”). This relief, which is set out in s.222 of the Taxation of Chargeable Gains Act 1992, enables individuals to sell their main residence without incurring any Capital Gains Tax (“CGT”) liability.

27 February 2012

Benson Partnership Limited v HMRC

The recent case of Benson Partnership Limited v HMRC [2012] UKFTT 63 (TC) comments upon whether a company met the statutory eligibility conditions for the Enterprise Investment Scheme ("EIS") relief.

14 February 2012

Rogge and Others v HMRC

This recent case makes the interesting point that a settlor of a trust can be assessed to income tax on interest and rental payments that he himself has made into the trust.  It also comments upon the concept of mutuality and settlor-interested trusts.

30 January 2012

The Felixstowe Dock and Railway Company Limited and Others

The recent case of Felixstowe Dock and Railway Company Limited v Others [2011] UKFTT 838 provides commentary on the availability of group relief to several companies, in respect of losses made by a UK company through an intermediate Luxembourg holding company.

03 January 2012

M Gilbert v HMRC [2011]

In M Gilbert v HMRC [2011](UK FTT 705 (TC)), the Appellant's appeal was allowed by the First-tier Tribunal against the disallowance of Entrepreneurs' Relief by HMRC on the sale of part of the Appellant's business.

09 December 2011

HMRC v Grattan plc [2011]

Following the Upper Tribunal decision in HMRC v Grattan plc [2011] UKFTT 691 (TC), the First-tier Tribunal has directed that a question should be referred to the ECJ on whether repayment interest on overpaid VAT may be compounded.

30 September 2011

Scotts Glass and Glazing Services

In Scotts Glass, the First Tier Tribunal determined an appeal in relation to a compliance issue arising from the submission of a tax return for the Construction Industry Scheme (CIS).  

13 September 2011

HMRC V Anson [2011]

The recent judgment by the Upper Tier Tribunal in HMRC v Anson [2011] overturned the First Tier Tribunal's decision that double tax treaty relief was available to a UK taxpayer on his share of profits in a Delaware LLC. 

02 August 2011

Paymex Limited (2011) – VAT exemption for consumer IVA services

This briefing note details the correct VAT treatment of supplies relating to the establishment and supervision of Individual Voluntary Arrangements as recently considered by the First Tier Tribunal. Please click the link above to view the full briefing.

02 August 2011

Enviroco Ltd - Tax implications of Supreme Court decision

Following the recent Supreme Court Judgement of Farstad Supply A/S v Enviroco [2011], we have compiled a briefing note to help explain the potential tax implications of a holding company 'pledging' the shares of its subsidiary as security. Please click the above link to read the full briefing.

20 July 2011

Capital expenditure or revenue expenditure? The great divide

Whether expenditure is capital or revenue is a key question for traders in computing their profits for tax purposes. This is because revenue expenditure is deductible immediately.

01 July 2011

Robert E Clark v HMRC: "Coding out" and the meaning of "assessment"

The recent judgment of RE Clark v HMRC (9 May 2011) and HMRC's consultation document (published 28 June 2011) have provided an interesting debate on HMRC's common practice of "Coding out", and a taxpayer's right of appeal against "informal assessments" issued by HMRC. 

29 June 2011

HMRC v Cotter (2011) - Carry-back of relief for losses in employment

The High Court recently heard a test case regarding the correct procedure for claiming employment loss relief which is available to be carried back against income and gains of previous tax years.  The Court held that such a claim must be made in respect of the year in which the loss arises, and may not be included in a taxpayer's return for an earlier year of assessment.