Hello

We are back with highlights of the Chancellor's Autumn Statement, new guides on Entrepreneurs' Relief, CGT for non-residents, daily tax penalties and topical news.

The Chancellor's decision to deny Entrepreneurs' Relief on the disposal of goodwill by sole traders and partnerships incorporating their businesses, and further to prevent their companies receiving tax relief on the amortisation of goodwill seems thoroughly at odds with the government's claim to be supporting small business. If the limitation in relief was applied to say professional partnerships I might have given it some support as an anti-tax abuse proposal however targetting the measure does not seem to have been considered. We have updated our guides in all these areas.

Recent news is that HMRC has been successful before the Upper Tax Tribunal (UTT) in its appeal on daily tax penalties. The UTT found that HMRC's interpretation of schedule 55 FA 2009 was correct and that its automatically generated notices did do what the legislation asked. There have been hundreds if not thousands of successful appeals against daily penalties since they were introduced and this decision brings to an end a micro industry in the art of the penalty appeal. We have adjusted our guidance as a result.

Scroll down for more news and updates, there are quite a few to look over.

Best wishes

Nichola Ross Martin FCA Tax Director

www.rossmartin.co.uk

Your online Virtual Tax Partner®: practical support for accountants, tax advisers and their clients.

Quick News

Highlights of the Autumn Statement
Taxing Entrepreneurs, Banks and multinationals, whilst stamp duty relief encourages the rise of mid-range properties in the London market.

HMRC's latest tax disclosure opportunity targets the legal profession. Don't look so smug, further campaigns will surely target other professionals.

From October 2014, HMRC has the computer capacity to enable it to claw back unpaid overpayment debts from old claims from new ongoing tax credit awards. The Low Income Tax Reforn Group (LITRG) have put together a guide to explain this new system of cross-claim recovery.

A new consultation on limiting the use of corporate directors by UK companies.  It also considering how to review of the use of corporate members of LLPs.

The tribunal has found that HMRC correctly imposed daily late filing penalties under para 4(1)(c) schedule 55 FA 2009. The decision concerns the meaning and construction of schedule 55 and whether HMRC's computer generated penalty notices did what the legislation required.

CGT: non residents and UK residential propertyFollowing consultation in the summer the government has decided to introduce a new CGT charge for non residents. The charge will apply only to gains accruing from 5 April 2015. Some interesting valuation dilemmas ahead.

The Government's has approved proposals for the Direct Recovery of Debts from taxpayer's bank accounts however following consultation has created safeguards. The measure will be included in the 2015 Finance Bill.

Workplace pensions: the penalties begin
The Pensions Regulator has already fined employers for failing to comply with the Workplace Pensions rules in the quarter to September 2014. It warns that some employers are not aware that the new rules apply to them.

Essential reading

Goodwill and incorporation: the tax issues
How to avoid a CGT charge now that Entrepreneurs' Relief does not apply to goodwill. Examples illustrate the alternatives available for a business that wants to enjoy limited liability. 

Subsistence: employer guide
Are your clients claiming tax relief on their lunches? If not why not? A guide to workplace lunch trolleys, lunch and more.

Staff parties and annual functions
Gearing up for Christmas? Topical tips for employers 

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