Executive Tax Experience
Bonus structures
Designing and implementing a bonus structure for an senior executive working in the oil industry which enabled a cash bonus in excess of £3 million to be paid without the executive incurring any liability to income tax or employee's national insurance contributions.
Setting up a tax planning structure for the owner-manager of a substantial trading company to enable cash held within the company to be extracted in a form chargeable to capital gains tax, at an effective rate of 10%, rather than income tax and national insurance contributions.
Growth share incentives
Designing and implementing a growth share scheme for a manufacturing company as part of overall succession planning and incentivisation arrangements. The work also involved advice on the new "employment income through third parties" legislation. We are currently advising on four separate growth share schemes for different clients.
EBTs/ EFRBSs
We have set up remuneration structures using EBTs and EFRBSs for a number of clients. We have also recently advised on the application of the "employment income through third parties" legislation to such structures.
EMI/ EIS
Designing and implementing innovative arrangements using EIS relief as an alternative to Enterprise Management Incentive options.
Non-domiciled employee
Advising a non-UK domiciled employee moving to London but continuing to work in several overseas jurisdictions on structuring his salary payments to avoid both UK and overseas tax on earnings payable in respect of work done outside the UK.
Disputes with HMRC
- Successfully concluding a multi-million pound dispute with HMRC over a s 425 ITEPA planning arrangement in which HMRC withdrew its case entirely.
- Negotiating the complete withdrawal by HMRC of possible back-assessments to PAYE and NICs in a number of employment status disputes
- Advising in relation to judicial review of HMRC's refusal to grant relief under s 392 ITEPA in relation to a FURBS from which the client had since been entirely excluded from benefit.
- Advising on an HMRC investigation into split-contract planning for a non-domiciled senior executive of a global management consultancy.