Making Tax Digital for VAT (MVD) was introduced for the first VAT accounting periods commencing on or after 1 April 2019. To date no penalties have been charged but that is about to change.
SME Tax News
Missed our SME Tax Web-updates in February? Here is a summary of the month.
Hello,
The government has concluded its review of off-payroll working and made a couple of modifications to the rules which commence in April 2020. Importantly, there are no radical changes and the new measures commence on the original start date of 6 April 2020.
In Direct Personnel Midlands Limited v HMRC [2019], the First Tier Tribunal decided that a recruiter did not automatically take over an employment agency’s PAYE liabilities when it paid the agency’s staff directly. The payments made also offset the agency’s charges for VAT.
HMRC's latest Trusts and Estates newsletter contains some useful information. Here is our enhanced version.
In Assem Allam v HMRC [2020] TC7532, the First Tier Tribunal (FTT) dismissed a claim for Entrepreneurs' Relief on a sale of shares to the seller's own company. It found the disposal to be of capital, not income. The non-trading activities in the company being sold were substantial. The purpose of the transaction was not income tax avoidance.
HMRC have issued new guidance on ‘Tax avoidance schemes aimed at contractors and agency workers’ ahead of the extension of the off-payroll working rules to the private sector.
In Gareth Clark v HMRC [2020] EWCA Civ 204, the Court of Appeal (CoA) upheld the decisions in the two earlier appeals. It held that a transfer from an authorised pension scheme into another fund in order to enable pension cash to be invested in residential property amounted to an unauthorised payment.
HM Treasury have published 'Review of changes to the off-payroll working rules: report and conclusion'. It is their response to the review of the proposed changes to the off-payroll working rules applying them to the private sector for the first time.
Hello,
This week we are focusing on employers and have our annual ‘Employer’s: What’s on?’ update, as well as featuring some of our useful guides for employers. We have also summarised the latest HMRC Agent Update for you.