HMRC have issued their Agent Update for March 2022. We have summarised the key content for you with links to our detailed guidance on the topics covered.
SME Tax News
Hello,
This is a very busy time for most of us. Have you done all you need to for this tax year? Are you getting ready for the new tax year?
In HMRC v Volkerrail Plant Ltd & Ors [2022] UKUT 00078, the Upper Tribunal (UT) found that whilst the restriction to the group relief provisions, as previously set out in s.403D ICTA 1988, did infringe upon the EU Freedom of Establishment, the restriction was justified as a matter of public interest.
In William Archer v HMRC [2022] UKUT 00061, the Upper Tribunal (UT) dismissed an appeal by Mr Archer against the penalty surcharge notice issued by HMRC for £1.4 million in relation to unpaid tax of approximately £14 million. There was no evidence to show that the belief that the Closure Notices were invalid was the reason for the non-payment of tax.
In Cheshire Cavity Storage 1 Ltd & Anor v HMRC [2022] EWCA Civ 305, the Court of Appeal agreed with the lower courts that underground gas storage cavities were not plant and were not eligible for plant and machinery capital allowances.
Accountants, professional advisers and other 'obliged entities' can now report a discrepancy about a beneficial owner on the Persons of Significant Control register online.
In Alastair Fergusson v HMRC [2022] TC08415, the First Tier Tribunal (FTT) upheld penalties and interest caused by the late filing of SDLT returns and subsequent payment. The taxpayer had attempted to file the paperwork for the property purchase himself and had not met the appropriate requirements and deadlines. He had no reasonable excuse for his filing failures.
Taxpayers who have not yet paid the tax due under Self Assessment for the 2020-21 tax year must either make payment in full or agree a time to pay arrangement with HMRC by 1 April to avoid late payment penalties.
In HMRC v RMF Construction Limited [2022] UKUT 00067, the Upper Tribunal (UT) overturned the FTT decision allowing an appeal against the removal of CIS Gross Payment Status. The decision to remove the status was based on compliance failures and that these failures happened eight years before the status is to be removed did not make its removal disproportionate.
HMRC's latest Employment-Related Securities Bulletins contains some useful information. Here is our enhanced version.