Hello,
In this week’s web-update we note the end of the SDLT holiday, we look into the details of the newest COVID-19 grant, and look at cases on closing down tax enquiries as well as tax relief for repairs.
SME Tax News
As we count down to the commencement of 'Making Tax Digital for Income tax' (MTD for IT) many of us are concerned over one aspect of quarterly reporting: how will we report income which is accounted for on different year-end dates?
The COVID-19 Stamp Duty Land Tax (SDLT) 'holiday' concluded on 30 June 2021. From 1 July, SDLT is payable on the acquisition of residential property costing more than £250,000. All is not lost for First Time Buyer's, they still receive relief and pay no SDLT on the purchase of their first property provided that the consideration is £300,000 or less.
In Gearslutz.com Limited & Julian Standen v HMRC [2021] TC08119, a company and its director failed to terminate a tax investigation with a Closure Notice. Enquiring into a suspiciously late capitalisation of intangible property after incorporation, the taxpayer had failed to provide HMRC with enough information to be able to raise valid assessments.
HMRC have made an unpublicised change to their guidance on how much of a non-domiciled person's foreign income or gains should be treated as remitted if it used as collateral for loans with a UK purpose.
HMRC have now provided access to a new online form to be used by companies to make de minimis claims under the new temporary extended loss carry-back rules.
In Messrs Elliot Balnakeil v HMRC [2021] TC08143, the First Tier Tribunal (FTT) found that farmhouse and bothy renovation costs were capital in nature and not allowable deductions for Income Tax purposes.
HMRC have published guidance on when taxpayers may need to amend their tax returns in respect of the Self-Employment Income Support Scheme (SEISS) grants.
Hello,
We have a new version of our freeview reorganisations and reconstructions index out this week. This now contains a planner which aims to help you decide what you want to do and how to do it. We can then direct you to the right guides and tools to complete the job. Of course, if it’s too much for you then contact our sister service, Virtual Tax Partner support.
In Keith Murphy v HMRC [2021] UKUT152, the Upper Tribunal (UT) treated the costs of an employment claim settled by the employer as non-taxable. They were not earnings derived from the taxpayers’ employment, they were necessary costs of making the claim. This decision was overturned upon appeal to the Court of Appeal.